Corrective Action Plans

Finding 1179034 (2025-001)

Material Weakness 2025

Richmond Urban Senior Housing (monarch Woods Apartments)

VA

HUD Housing Programs

Controls around fishing attacks have been implemented to ensure no inappropriate withdrawls are made from the reserve accounts.

View Audit 391468

Finding 1179033 (2025-002)

Material Weakness 2025

Wayne Trace Local School District

OH

Matching / Level of Effort / Earmarking Subrecipient Monitoring

The District will implement procedures to ensure that Davis-Bacon language is included for future projects with contractors or subcontractors to work on projects in excess of $2,000 financed by federal assistance funds.

View Audit 391466

Finding 1179032 (2025-001)

Material Weakness 2025

Vermont State Colleges

VT

Student Financial Aid § 200.303

Finding number: 2025-001 Federal agency: U.S. Department of Education Programs: Student Financial Assistance (SFA) Cluster Assistance Listing Number: 84.007, 84.033, 84.268, 84.063 Award year: 2025 Corrective Action Plan The Colleges hired a new Chief Information Security Officer (CISO), who has beg...

Finding number: 2025-001 Federal agency: U.S. Department of Education Programs: Student Financial Assistance (SFA) Cluster Assistance Listing Number: 84.007, 84.033, 84.268, 84.063 Award year: 2025 Corrective Action Plan The Colleges hired a new Chief Information Security Officer (CISO), who has begun overhauling the information security policies to reflect current practices. The CISO has also created a preliminary draft of a WISP that reflects the Colleges current policies and procedures. This WISP is expected to be completed and implemented during fiscal year 2026, pending board review and approval. Timeline for Implementation of Corrective Action Plan Immediately. Contact Person Sharron Scott, CFO

View Audit 391461

Finding 1179021 (2025-001)

Material Weakness 2025

Heading Home

NM

Allowable Costs / Cost Principles Reporting Significant Deficiency

Heading Home management is in agreement with this finding. After years of turnover in key management positions steps have been taken to address staffing challenges and these positions have been successfully staffed with high-quality individuals who bring extensive knowledge and expertise to their ro...

Heading Home management is in agreement with this finding. After years of turnover in key management positions steps have been taken to address staffing challenges and these positions have been successfully staffed with high-quality individuals who bring extensive knowledge and expertise to their roles. These positions include a new Chief Executive Officer, Director of Operations, Chief Financial Officer, and Director of Human Resources. To address challenges in accounting and finance Heading Home had contracted with a local CPA firm specializing in nonprofit accounting and financial reporting to assist the CFO with daily accounting tasks, the monthly close, financial reporting to management and the board of directors, and to facilitate and ensure audits are completed timely each year. The new management group is committed to maintaining a skilled and competent team in key financial roles. Due to the backlog of billings at the opening of FY24, the quarterly reports for the first quarter were submitted late. With the new staff and assistance, these billings and quarterly reports were brought current as quickly as possible. They are now current and being submitted in a timely manner. Management’s corrective action plan was fully implemented by June 30, 2025, and anticipate that there will be no further issues. Personnel responsible for ensuring implementation include Connie Chavez, Chief Executive Officer, and Debbie Brickman, Chief Financial Officer.

View Audit 391445

Finding 1179019 (2025-002)

Material Weakness 2025

Clatsop Community College

OR

Student Financial Aid Matching / Level of Effort / Earmarking Reporting § 200.303

Student Financial Assistance Cluster – Assistance Listing No. 84.063, 84.268, 84.007, 84.033 Recommendation: We recommend the College implement an internal control that ensures timely and accurate reporting. We also recommend the College implement changes in processes and procedures for NSLDS enroll...

Student Financial Assistance Cluster – Assistance Listing No. 84.063, 84.268, 84.007, 84.033 Recommendation: We recommend the College implement an internal control that ensures timely and accurate reporting. We also recommend the College implement changes in processes and procedures for NSLDS enrollment reporting and implement an internal control that ensures reporting is both timely and accurate. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: An Ellucian consultant provided us with customized process documentation for our new SIS (Ellucian Colleague) which is saved in a shared drive to ensure consistency in the process. The Interim Dean of Students / Financial Aid Director is currently completing the reporting with our Director of Institutional Research receiving the reports and verifying completeness through National Student Clearinghouse, ensuring that there is an internal control. Name(s) of the contact person(s) responsible for corrective action: Sarah Geleynse & Ian Wilson Planned completion date for corrective action plan: Implemented

View Audit 391428

Finding 1179015 (2025-001)

Material Weakness 2025

Clatsop Community College

OR

Student Financial Aid Matching / Level of Effort / Earmarking Internal Control / Segregation of Duties § 200.303

Student Financial Assistance Cluster – Assistance Listing No. 84.063, 84.268, 84.007, 84.033 Recommendation: We recommend the College return the funds related to unclaimed Title IV–funded checks that are older than 240 days. In addition, we recommend that the College review applicable requirements a...

Student Financial Assistance Cluster – Assistance Listing No. 84.063, 84.268, 84.007, 84.033 Recommendation: We recommend the College return the funds related to unclaimed Title IV–funded checks that are older than 240 days. In addition, we recommend that the College review applicable requirements and implement effective controls and procedures to monitor outstanding Title IV–funded checks throughout the year to ensure timely compliance. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: The Business Office provides a list monthly of the uncashed financial aid checks to the Financial Aid Office. The Financial Aid Office is contacting the students to remind them to cash their checks. The funds for the uncashed checks are returned to the College after 90 days and then returned to the source of the funding. Name(s) of the contact person(s) responsible for corrective action: Margaret Antilla and Layla Solar. Planned completion date for corrective action plan: Already implemented.

View Audit 391428

Finding 1179011 (2025-001)

Material Weakness 2025

Community Health and Wellness Center of Greater Torrington, Inc.

CT

Procurement, Suspension & Debarment

Recommendation The Center should establish a system of internal controls to review vendors in accordance with the Uniform Guidance requirements for suspension and debarment. These procedures should be reviewed with the appropriate staff to ensure compliance with requirements Action Taken Community H...

Recommendation The Center should establish a system of internal controls to review vendors in accordance with the Uniform Guidance requirements for suspension and debarment. These procedures should be reviewed with the appropriate staff to ensure compliance with requirements Action Taken Community Health and Wellness Center has a contract management process in place to review contracts, vendors and employees in accordance with Uniform Guidance requirements for suspension and debarment. The following action will be taken: 1. We will review the list of vendors and contractors quarterly to ensure the list is updated with active contractors or vendors. 2. We will include Disbarment checks on an annual basis or more frequently as new contracts are executed, on the Sam.Gov portal for all contractors and vendors so as not to miss any contracts that are supported with federal dollars. Having this process will also alleviate challenges and barriers of administrative oversight of having to carve out federal contracts and create greater efficiencies. 3. We will maintain the documentation of all the annual disbursement checks. If the Cognizant or Oversight Agency for Audit has questions regarding this plan, please call: Joanne Borduas, CEO at (860) 387-0425

View Audit 391422

Finding 1179008 (2025-005)

Material Weakness 2025

Howard Community College

MD

Special Tests & Provisions Student Financial Aid Reporting § 200.303

U.S. Department of Education 2025-005: Special Tests and Provisions - NSLDS Enrollment Reporting Student Financial Aid Cluster -Assistance Listing No. 84.063, 84.268 Condition: Enrollment status changes were either not reported to NSLDS within 60 days or did not match the College's records for a por...

U.S. Department of Education 2025-005: Special Tests and Provisions - NSLDS Enrollment Reporting Student Financial Aid Cluster -Assistance Listing No. 84.063, 84.268 Condition: Enrollment status changes were either not reported to NSLDS within 60 days or did not match the College's records for a portion of the sampled students. Recommendation: The institution should evaluate their procedures and policies related to reporting status changes and effective dates to NSLDS and enhance as deemed necessary to ensure that accurate information is reported to NSLDS. Explanation of disagreement with audit finding : There is no disagreement with the audit finding. The Institution acknowledges that while reporting was completed within a timely manner by HCC, NSC did not update within the time allotted to be compliant. HCC remains committed to continuous improvement and compliance. Action taken in response to finding: As noted in the prior year's response, the College committed to full implementation of corrective actions by June 30, 2026, aligned with the conclusion of the 2025-2026 academic year. The institution is currently and actively working on the corrective action plan previously submitted. Actions underway or in progress include: Formal clarification of interdepartmental roles and responsibilities, establishing the Records, Registration and Veteran's Affairs (RRVA) as the primary enrollment reporting authority, with defined review and compliance support from Financial Aid Services. Enhanced reconciliation and quality control procedures, including routine cross-checks between RRVA and Financial Aid Services records prior to each enrollment reporting submission. Standardized review protocols for program-level enrollment changes, including graduates, withdrawals, and subsequent reenrollments in different academic programs. Ongoing monitoring and documentation of NSC errors and warning reports, with timely resolution and escalation when discrepancies appear to originate outside of the College's student information systems. Targeted training for RRVA and Financial Aid staff on enrollment reporting regulations, NSLDS requirements, and audit-risk mitigation. The College believes these actions, coupled with existing reporting practices, sufficiently address the concerns raised and will further strengthen enrollment reporting accuracy and documentation. Full implementation of the corrective action plan remains on schedule for completion by June 30, 2026, as originally committed. Name(s) of the contact person(s) responsible for corrective action: Detra Hooper, Financial Aid Director and Jessica Peterson, Registrar Planned completion date for corrective action plan: June 30, 2026 If the U.S. Department of Education has questions regarding this plan, please call Detra Hooper, Financial Aid Servies Director at 443-518-4776.

View Audit 391418

Finding 1178984 (2025-002)

Material Weakness 2025

Case Western Reserve University

OH

Procurement, Suspension & Debarment Allowable Costs / Cost Principles § 200.324

The University acknowledges the audit finding and is committed to ensuring compliance with the procurement requirements outlined in 2 CFR 200.324 (a), which mandates that recipients perform a cost or price analysis for every procurement transaction exceeding the simplified acquisition threshold. Dur...

The University acknowledges the audit finding and is committed to ensuring compliance with the procurement requirements outlined in 2 CFR 200.324 (a), which mandates that recipients perform a cost or price analysis for every procurement transaction exceeding the simplified acquisition threshold. During the audit period, it was identified that 4 sampled transactions exceeding the University’s simplified acquisition threshold of $50,000 lacked documented evidence of an independent cost or price analysis prior to March 31, 2025. In April 2025, the University remediated this policy and procedure. No exceptions were identified during the remediation period, and the finding is considered remediated. In April 2025, to address this finding and strengthen compliance, the University initiated the following corrective actions. First, the University worked with leadership to update its procurement policy to increase the simplified acquisition threshold to $250,000, aligning with federal guidelines. This change ensures that the University’s procurement processes are more consistent with federal standards. Second, a new requirement was implemented, mandating that a price analysis form be completed and retained for each procurement transaction exceeding the simplified acquisition threshold. This form documents the University’s independent price analysis. Third, the University provided targeted training to procurement staff and relevant stakeholders to ensure understanding and adherence to the updated policy and the new price analysis requirement. The training emphasized the importance of maintaining contemporaneous documentation in procurement files. Finally, the University implemented enhanced internal controls to ensure that all procurement transactions exceeding the simplified acquisition threshold are reviewed and approved by designated leadership, with documented evidence of a price analysis retained in the procurement files. Primary responsibility for implementing and monitoring this corrective action plan rests with Beth Connelly, Senior Director of Procurement Operations, 216-368-6332.

View Audit 391411

Finding 1178960 (2025-001)

Material Weakness 2025

Case Western Reserve University

OH

Cash Management § 200.302

The University acknowledges the audit finding and remains committed to maintaining compliance with the cash management requirements outlined in 2 CFR 200.302 (b)(3), which stipulates that recipients must maintain records that sufficiently identify Federal awards and ensure that drawdowns are properl...

The University acknowledges the audit finding and remains committed to maintaining compliance with the cash management requirements outlined in 2 CFR 200.302 (b)(3), which stipulates that recipients must maintain records that sufficiently identify Federal awards and ensure that drawdowns are properly supported and authorized prior to submission. During the audit period, at least one drawdown was approved, one day retroactively, after submission but prior to receipt of funds. This occurred prior to the remediation period. No exceptions were identified in the remediation period, and the finding is considered remediated. The instance arose during a leadership transition with the Office of Research Administration. Since that time, the entire drawdown process, review and approval has been clarified under new leadership, and additional oversight has been implemented to ensure approvals are documented prior to submission. As part of the drawdown process review, the University developed a standardized drawdown template, which streamlines how the Federal award expense information is gathered, compared to approve budgeted amounts and reviewed for approval. The template documents the preparer, the approver and the dates of both for the respective drawdown. The Office of Research Administration received training on the use of the template in January and February 2026 and implementation is planned for February 2026. Primary responsibility for implementing the correction action plan for this finding rests with Angela Tagliaferri, Assistant Vice President of Post-Award Services and Financial Compliance, 216-368-6269.

View Audit 391411

Finding 1177975 (2025-001)

Material Weakness 2025

Housing and Redevelopment Authority of Wadena

MN

Internal Control / Segregation of Duties

2025-001 – Lack of Segregation of Duties Corrective Action Planned: Due to the Authority’s size, it is cost-prohibitive and impractical to achieve the ideal level of segregation of duties. The Authority has implemented as many controls and segregation of duties as practically possible for an organiz...

2025-001 – Lack of Segregation of Duties Corrective Action Planned: Due to the Authority’s size, it is cost-prohibitive and impractical to achieve the ideal level of segregation of duties. The Authority has implemented as many controls and segregation of duties as practically possible for an organization of this size. Completion Date: Ongoing

View Audit 391407

Finding 1177974 (2025-002)

Material Weakness 2025

Tomah Area School District

WI

Procurement, Suspension & Debarment

Procurement and Suspension & Debarment for IDEA Cluster Recommendation: The District should follow their established procurement policies and implement a policy to review vendors for suspension and debarment Explanation of disagreement with audit finding: There is no disagreement with the audit find...

Procurement and Suspension & Debarment for IDEA Cluster Recommendation: The District should follow their established procurement policies and implement a policy to review vendors for suspension and debarment Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action planned in response to finding: The District will review and modify their policies and procedures that are followed when entering into procurement transactions and ensure that it maintains adequate documentation. Name of the contact person responsible for corrective action: Michelle M. Clark, Business Manager. Planned completion date for corrective action plan: June 30, 2026.

View Audit 391406

Finding 1177965 (2025-001)

Material Weakness 2025

County of Alpine

CA

Procurement, Suspension & Debarment Eligibility § 200.212 § 200.318

The County's current procedure requires documented acknowledgement that the vendor was verfied to not be suspended, debarred, or otherwise excluded prior to entering covered transactions. Effective February 25, 2026, the County's procedure will require documented verfication that vendors are not sus...

The County's current procedure requires documented acknowledgement that the vendor was verfied to not be suspended, debarred, or otherwise excluded prior to entering covered transactions. Effective February 25, 2026, the County's procedure will require documented verfication that vendors are not suspended, debarred, or otherwise excluded prior to entering into covered transactions and retain such documnetation within the procurement file, in accordance with CFR 200.212 and 200.318(h), 2 CFR 180.300, and 48 CFR 52.209-6.

View Audit 391401

Finding 1177958 (2025-002)

Material Weakness 2025

Anne Arundel County Board of Education

MD

Procurement, Suspension & Debarment Subrecipient Monitoring § 200.303

2025-002 Federal Agency: U.S. Department of Agriculture Federal Program Name: Child Nutrition Cluster Assistance Listing Number: 10.553, 10.555, 10.559 Federal Award Identification Number and Year: None Pass-Through Agency: Maryland State Department of Education Pass-Through Number: None Award Perio...

2025-002 Federal Agency: U.S. Department of Agriculture Federal Program Name: Child Nutrition Cluster Assistance Listing Number: 10.553, 10.555, 10.559 Federal Award Identification Number and Year: None Pass-Through Agency: Maryland State Department of Education Pass-Through Number: None Award Period: 7/1/2024 – 6/30/2025 Type of Finding: Significant Deficiency in Internal Control over Compliance, Other Matters Recommendation: CLA recommends that the Board review its policies and procedures to ensure they include the three options for determining suspension and debarment status listed in 2 CFR 180.300 and that controls are sufficient to ensure that the suspension and debarment status is verified for all vendors prior to entering into covered transactions. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: The recommendation was included in the FY2024 Single Audit Corrective Action Plan and the following course of action was described therein; The Purchasing Office had processes in place to ensure debarment status was checked before contract award. Both the contract checklist and the Qualifications Affidavit in the solicitation template contained debarment status language to ensure the necessary checks took place. Despite these processes, a contract for curriculum materials was not checked for debarment status before contract award. The cause of that oversight seems to be the different procurement processes used in instructional materials procurements. The contract was not competitively awarded, so they did not require a qualifications affidavit, which would have ensured the debarment status was checked. In this instance, a checklist was not included in the contract file as required, which would have also triggered a debarment check. In response, the Purchasing Office is adding a third layer of oversight - requiring that a revised contract affidavit is completed for every contract award. Language was added to the current contract affidavit that contains an affirmation by the contractor that they are not suspended or debarred by any government entity – local, state, and federal. To summarize, the Purchasing Office will engage one of the three processes listed below to ensure timely debarment checks are conducted on every contract, regardless of funding source. 1) Contract Checklist 2) Qualifications Affidavit 3) Contract Affidavit Contracts chosen in this FY25 sample all predate the implementation of the FY24 corrective action plan as they spanned multiple years. Debarment checks were performed for some of the contracts sampled, but the date of the printout was not legible for the audit team to review. The purchasing team will ensure that dates are legible. AACPS will continue with the process described above to ensure timely debarment checks are conducted. Name(s) of the contact person(s) responsible for corrective action: Mary Jo Childs, Director of Purchasing Planned completion date for corrective action plan: For immediate implementation and ongoing.

View Audit 391387

Finding 1177957 (2025-002)

Material Weakness 2025

Robeson County Housing Authority

NC

HUD Housing Programs

MTW Income Verification and Rent Calculation Explanation of Condition: The Authority operates under HUD-approved MTW waivers, including three-year certifications. In the finding identified, Enterprise Income Verification (EIV) was not utilized during a Year 1 MTW income calculation, resulting in und...

MTW Income Verification and Rent Calculation Explanation of Condition: The Authority operates under HUD-approved MTW waivers, including three-year certifications. In the finding identified, Enterprise Income Verification (EIV) was not utilized during a Year 1 MTW income calculation, resulting in underreported income and an incorrect rent determination that carried forward into the second year of the MTW cycle. Corrective Actions Taken and Planned: To strengthen compliance with HUD occupancy requirements and MTW oversight standards, the Authority has implemented the following corrective actions:  The Authority has developed and implemented a formal Standard Operating Procedure (SOP) for MTW Income Verification and Rent Calculations, which requires: o Mandatory EIV review in accordance with HUD’s verification hierarchy o Documentation of EIV review in each tenant file o Supervisory review and approval of all MTW rent calculations  An internal quality control and audit review process has been established to periodically review rent calculations and certifications for accuracy and compliance.  The recertification process has been restructured so that MTW and annual recertifications are conducted primarily during April and May, allowing staff to focus on accurate income verification and calculations without competing operational demands.  Occupancy staff have received refresher training on MTW requirements, EIV usage, and HUD income verification standards.  The Authority plans to utilize MTW flexibility to implement a Standard Deduction, which will reduce calculation complexity, improve consistency, and minimize the likelihood of future errors. The Authority believes these corrective actions align with HUD monitoring expectations, strengthen internal controls, and demonstrate ongoing commitment to MTW compliance.

View Audit 391377

Finding 1177956 (2025-001)

Material Weakness 2025

Morehouse College

GA

Student Financial Aid Eligibility

Corrective Action Plan Finding No. 2025-001 – Eligibility (Federal Work Study Program) Federal Program: Student Financial Assistance Cluster – Federal Work Study (ALN 84.033) Federal Agency: U.S. Department of Education Audit Period: July 1, 2024 – June 30, 2025 Finding Summary During testing of stu...

Corrective Action Plan Finding No. 2025-001 – Eligibility (Federal Work Study Program) Federal Program: Student Financial Assistance Cluster – Federal Work Study (ALN 84.033) Federal Agency: U.S. Department of Education Audit Period: July 1, 2024 – June 30, 2025 Finding Summary During testing of student eligibility, auditors identified one instance in which a student’s Cost of Attendance (COA) was increased by $2,810 due to participation in the Federal Work Study (FWS) program. Federal regulations do not permit an institution to increase COA solely to accommodate FWS eligibility. Although the adjustment did not result in the student receiving aid exceeding financial need, the adjustment occurred due to a misunderstanding of guidance related to the FWS program. Corrective Action Plan Management agrees with the finding. To address the finding and ensure compliance with federal regulations governing the Federal Work Study program, the Office of Financial Aid will implement the following corrective actions: 1. Policy Clarification and Documentation The Office of Financial Aid will revise its internal awarding policies and procedures to clearly state that the standard practice of awarding Federal Work Study funds must fit within the student established Cost of Attendance (COA). Additionally, the revised policy will explicitly include flexibility to increase the Cost of Attendance only because of approved Special Circumstance appeals, consistent with federal guidance and institutional professional judgment policies. Federal Student Aid Handbook: Application and Verification Guide: Chapter 5 – Special Cases 2. Award Adjustment Procedures When a student’s aid package exceeds need due to the addition of FWS, staff will take the following steps: • Reduction of loan awards, when applicable, to allow FWS funding to be added within the student’s financial need limits.A Loan Adjustment Form will be required for all downward adjustments to loan awards to ensure documentation and transparency. These procedures will ensure that aid adjustments remain compliant with federal need-analysis requirements. Implementation Timeline • Policy updates and procedural documentation: Within 60 days • Process implementation: Beginning with the 2026-2027 academic year packaging cycle

View Audit 391374

Finding 1177953 (2025-001)

Material Weakness 2025

John Wood Community College Dist No. 539

IL

Student Financial Aid

Corrective Action Plan for Current Year Findings 2025-001 Special Tests & Provisions – Return of Title IV Funds This Corrective Action Plan has been established by the Financial Aid and Registrar’s Offices to resolve findings related to Return of Title IV (R2T4) calculation errors. The goal of this ...

Corrective Action Plan for Current Year Findings 2025-001 Special Tests & Provisions – Return of Title IV Funds This Corrective Action Plan has been established by the Financial Aid and Registrar’s Offices to resolve findings related to Return of Title IV (R2T4) calculation errors. The goal of this plan is to ensure 100% data integrity through enhanced system logic, multi-tier manual verification, and cross-departmental reconciliation. Identify and Analyze Errors: The institution conducted a root-case analysis of the identified findings and determined the following: R2T4 Transposition Errors: For five (5) student records, the "Date of School’s Determination" (DOD) and the "Date of Withdrawal/Last Date of Engagement" (LDE) were inadvertently switched during manual entry into the COD system. Corrective Standard: The Withdrawal Date must be verified as the actual Last Date of Engagement (LDE), while the Date of Determination must remain the Banner-stamped withdrawal date. Develop and Implement Data Verification Processes: To prevent recurrence, the following "intrusive checks and balances" system has been implemented: Multi-Tier R2T4 Review (Financial Aid) - A four-point verification process is now mandatory for all Pro-rata calculations: a. Preparation: Financial Aid Specialist calculates the return based on Banner data. b. Validation: Financial Aid Coordinator validates the LDE and DOD against the academic record. c. Confirmation: Financial Aid Manager reviews and confirms previous calculations based on LDE and Banner data. d. Final Oversight: The Director of Financial Aid performs the final verification check before and after the data is committed to the Common Origination and Disbursement (COD) system. e. Standardization: All calculations must include employee initials and date within the Pro-rata Calculation Form, based on the 4-point verification process above, to ensure internal record reconciliation. Person(s) Responsible: Christine Genenbacher-Leinbach, Director of Financial Aid Brittany McKeown, Head of Enrollment, Registrar, Financial Aid Services Timing for Implementation: Currently implemented, as well as a retroactive check of prior R2T4 submissions, starting September 1, 2025. New verification tiers are active as of the current term to ensure immediate compliance without further incidents.

View Audit 391360

Finding 1177952 (2025-003)

Material Weakness 2025

City of Spartanburg

SC

Reporting Internal Control / Segregation of Duties

CONTACT PERSON: Dennis Locke, Director of Finance and Budget, dlocke@cityofspartanburg.org CORRECTIVE ACTION: The City will ensure that all applicable airport project reports are completed and filed on a timely basis. PROPOSED COMPLETION DATE: Prior to June 30, 2026

View Audit 391356

Finding 1177948 (2025-001)

Material Weakness 2025

Bamberg Council on Aging

SC

Allowable Costs / Cost Principles § 200.414

Notice of Intent to Adopt the DeMinimis Cost Rate For Fiscal Year 2026-2027. The purpose of this document is to formally announce that the Bamberg County Office on Aging is taking the necessary administrative steps to adjust its indirect cost recovery method. Effective July 1, 2026 (Fiscal Year 2026...

Notice of Intent to Adopt the DeMinimis Cost Rate For Fiscal Year 2026-2027. The purpose of this document is to formally announce that the Bamberg County Office on Aging is taking the necessary administrative steps to adjust its indirect cost recovery method. Effective July 1, 2026 (Fiscal Year 2026-2027), the agency will elect to charge a de minimis rate (15%) for indirect costs. Please be advised that we are unable to adjust the current indirect cost rate within the Grant Management System (GMS) at this time (FY 25-26), as any modification would disrupt the financial reporting and accounting structures of the active fiscal year. The South Carolina Department of Transportation (SCDOT) has been formally notified that this change is technically non-viable for the current period; therefore, the implementation of the new rate will be deferred until the commencement of Fiscal Year 2026-2027 to ensure fiscal consistency and audit compliance.

View Audit 391354

Finding 1177945 (2025-003)

Material Weakness 2025

Community Action Partnership of Cambria County

PA

Allowable Costs / Cost Principles Subrecipient Monitoring

Material Weakness: See Finding 2025-002

View Audit 391350

Finding 1177944 (2025-002)

Material Weakness 2025

Community Action Partnership of Cambria County

PA

Allowable Costs / Cost Principles

Name of Contact Person – Stephanie Cooper, Chief Fiscal Officer Recommendation: It was recommended that management correct the payroll system data to ensure accurate percentages are entered for workers’ compensation and implement a review procedure to monitor payroll liabilities each month for accur...

Name of Contact Person – Stephanie Cooper, Chief Fiscal Officer Recommendation: It was recommended that management correct the payroll system data to ensure accurate percentages are entered for workers’ compensation and implement a review procedure to monitor payroll liabilities each month for accuracy. It was further recommended that program management consult with their Head Start coordinator for further guidance on corrective actions regarding the 2024-25 overstatement. Action Taken: Management identified the error at the close of the 2024-25 fiscal year and suspended the bi-weekly allocation of workers compensation expense, allowing payments to relieve the overstated liability throughout the 2025-26 fiscal year. Accordingly, the Federal Head Start Program will not be charged with workers’ compensation expense in the 2025-26 program year to correct for the 2024-25 overstatement.

View Audit 391350

Finding 1177938 (2025-004)

Material Weakness 2025

Inglewood Unified School District

CA

Allowable Costs / Cost Principles Internal Control / Segregation of Duties Matching / Level of Effort / Earmarking § 200.303 § 200.430

Corrective Actions: • Reinforce expectations through additional training and support for employees and supervisors on the proper preparation and monthly submission of PAR forms. • Strengthen internal review procedures by assigning responsibility for confirming PARs are completed accurately, submitte...

Corrective Actions: • Reinforce expectations through additional training and support for employees and supervisors on the proper preparation and monthly submission of PAR forms. • Strengthen internal review procedures by assigning responsibility for confirming PARs are completed accurately, submitted on time, and signed by both the employee and the supervising administrator. • Ensure PAR documentation is consistently forwarded to Fiscal Services for timely review and any necessary adjustments so payroll charges align with the actual percentages of time worked on Title I activities. Responsible Department/Person: • Educational Services (Federal Programs/Title I) - Program Oversight • Human Resources/Payroll- Payroll Coding Support (as applicable) • Fiscal Services - Compliance Review and Adjustments • Primary Contacts: Siddhant Bhatta (Executive Director of Fiscal Services); Alma Quijas (Fiscal Compliance Manager) Anticipated Completion Date: March 31, 2026

View Audit 391316

Finding 1177937 (2025-003)

Material Weakness 2025

Inglewood Unified School District

CA

Internal Control / Segregation of Duties Reporting

Corrective Actions: • Continue providing guidance and training to school site staff on cohort coding practices, allowable supporting documentation, and documentation standards. • Strengthen documentation collection, review, and retention processes to ensure cohort adjustment support is consistently ...

Corrective Actions: • Continue providing guidance and training to school site staff on cohort coding practices, allowable supporting documentation, and documentation standards. • Strengthen documentation collection, review, and retention processes to ensure cohort adjustment support is consistently collected, reviewed for completeness, and maintained in an organized manner for audit purposes. • Conduct periodic internal reviews of cohort records to verify the accuracy of historical and future student removals. • Establish clear procedural expectations and assign oversight responsibilities to improve reporting accuracy and reduce the risk of recurrence. Responsible Department/Person: • Educational Services (Data/ Accountability) and School Site Administration • Fiscal Services - Compliance Oversight • Primary Contacts: Siddhant Bhatta (Executive Director of Fiscal Services); Alma Quijas (Fiscal Compliance Manager) Anticipated Completion Date: March 31, 2026 The District does not anticipate this finding will repeat in the 2025-26 audit due to ongoing training and strengthened procedures.

View Audit 391316

Finding 1177934 (2025-005)

Material Weakness 2025

Inglewood Unified School District

CA

School Nutrition Programs Allowable Costs / Cost Principles

Corrective Actions: • Implement separate tracking and reporting of expenses that were historically rolled up through the SACs process, consistent with auditor guidance, to improve transparency and ensure proper classification. (This is a reclassification of costs and is not expected to result in a f...

Corrective Actions: • Implement separate tracking and reporting of expenses that were historically rolled up through the SACs process, consistent with auditor guidance, to improve transparency and ensure proper classification. (This is a reclassification of costs and is not expected to result in a financial impact.) • Continue collaborating with consultants and state auditors to develop and implement an interprogram vending agreement between the National School Lunch Program (NSLP) and the Child and Adult Care Food Program (CACFP) to support proper allocation and monthly transfer of shared costs. • Establish and enforce improved procedures to ensure expenses and invoices are tracked and maintained separately for each nutrition program to support consistent and equitable cost distribution. Responsible Department/Person: • Child Nutrition Services - Program-Level Tracking and Documentation • Fiscal Services - Accounting Structure, Review, and Compliance Support • Primary Contacts: Siddhant Bhatta (Executive Director of Fiscal Services); Alma Quijas (Fiscal Compliance Manager) Anticipated Completion Date: March 31, 2026 The District does not anticipate this finding will repeat in the 2025-26 audit due to improved procedures and program-level controls.

View Audit 391316

Finding 1177932 (2025-002)

Material Weakness 2025

Ravalli Head Start, Inc.

UT

Procurement, Suspension & Debarment Significant Deficiency

Regarding 2025-002 Transaction Approvals, CFO Jill Hansen and Executive Director Michele Craig submitted corrective action in last year’s response to the significant deficiency Expense Approval Documentation 2024-002 on 1/22/25, which included an internal audit of all financial transactions and an e...

Regarding 2025-002 Transaction Approvals, CFO Jill Hansen and Executive Director Michele Craig submitted corrective action in last year’s response to the significant deficiency Expense Approval Documentation 2024-002 on 1/22/25, which included an internal audit of all financial transactions and an evaluation of the reasonableness of the approvals in the current policy. At the time of the audit and proposed corrective action, we were already 5 months into the new fiscal year, and those transactions had already occurred so we were aware of potential findings. The specific 2025 findings include the timeliness of supervisor approval, the lack of supervisor approval, and the timeliness of the executive director approval of journal entries. For the timeliness of supervisor approval these systems are already in place based on last year’s corrective action. Regarding the lack of supervisor approval, managers and fiscal staff will have refresher training on the approvals needed for credit card claims which will be addressed at our next Managers’ Meeting on March 31, 2026. Additionally, the CFO now reconciles the credit card statements and reviews all associated claim forms. Regarding the executive director approval of journal entries, the CFO will obtain executive director approval and signatures on all journal entries before publishing financial statements. This step has been added to the month-end checklist. All corrective action will be implemented by April 30, 2026. The Executive Director, Michele Craig will be responsible for implementing the corrective action.

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Corrective Action Plans

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