Corrective Action Plans

Finding 13143 (2022-003)

Material Weakness 2022

NY

Questioned Costs Allowable Costs / Cost Principles § 200.405

The District will be developing procedures to include improved documentation of grant expenditures, create a uniform set of grant budget/revenue codes to track individual grants, and compare expenditures to the grant applications to confirm the grant funds are expended appropriately. These actions w...

The District will be developing procedures to include improved documentation of grant expenditures, create a uniform set of grant budget/revenue codes to track individual grants, and compare expenditures to the grant applications to confirm the grant funds are expended appropriately. These actions will be completed by Robyn Bhend, School Business Manager by June 30, 2023.

View Audit 16198 Questioned Costs: $1

Finding 13140 (2022-004)

Material Weakness 2022

City of Sullivan

IN

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

FINDING 2022-004 Contact Person Responsible for Corrective Action: Sue Pitts Contact Phone Number: 812-268-6077 Views of Responsible Official: We concur with the finding. Description of Corrective Action Plan: We will implement a system of internal controls related to the preparation and submission ...

FINDING 2022-004 Contact Person Responsible for Corrective Action: Sue Pitts Contact Phone Number: 812-268-6077 Views of Responsible Official: We concur with the finding. Description of Corrective Action Plan: We will implement a system of internal controls related to the preparation and submission of the Project and Expenditure (P&E) Reports. The Clerk-Treasurer will prepare the reports to be reviewed by the Deputy Clerk-Treasurer, prior to submission, to ensure that all projects, sections, and key line items are complete and supported by the ledger. Starting in 2024, the reports will be submitted by the April 30th deadline. Anticipated Completion Date: January 2024

View Audit 17605

Finding 13139 (2022-003)

Material Weakness 2022

City of Sullivan

IN

Procurement, Suspension & Debarment Subrecipient Monitoring § 200.303

FINDING 2022-003 Contact Person Responsible for Corrective Action: Sue Pitts Contact Phone Number: 812-268-6077 Views of Responsible Official: We concur with the finding. Description of Corrective Action Plan: The Clerk-Treasurer will meet with our City A?orney to discuss including a suspension and ...

FINDING 2022-003 Contact Person Responsible for Corrective Action: Sue Pitts Contact Phone Number: 812-268-6077 Views of Responsible Official: We concur with the finding. Description of Corrective Action Plan: The Clerk-Treasurer will meet with our City A?orney to discuss including a suspension and debarment clause into our federal contracts going forward. The City?s contract request form will be updated to include a check box to be marked when an employee is reques?ng a contract u?lizing federally awarded dollars. The City will include the informa?on below to all ARPA contracts that are above $25,000. Likewise if a contract is not entered into with any vendor that would submit a quote for work to be performed over the $25,000.00 threshold, they would need to provide a cer?fica?on or proof that they are not suspended, debarred, or otherwise excluded. The Contractor cer?fies, warrants, and represents that it has no current, pending, or outstanding criminal, civil, or enforcement ac?ons ini?ated by the City and that neither it nor its principal(s) is/are presently debarred, suspended, proposed for debarment, declared ineligible, or voluntarily excluded from entering into this Contract by any federal agency or by any department, agency, or poli?cal subdivision of the State of Indiana, or the City. The Contractor agrees that it will immediately no?fy the City and the Department of any such ac?ons and during the term of such ac?ons, the City or the Department may delay, withhold, or deny work under any supplement, amendment, change order, or other contractual device issued pursuant to this Contract. Anticipated Completion Date: January 2024

View Audit 17605

Finding 13137 (2022-001)

None 2022

Ranken Technical College

MO

Student Financial Aid Special Tests & Provisions Matching / Level of Effort / Earmarking

Reference Number 2022-001 Ranken Technical College has addressed the recent NSLDS reporting concerns as of 11/01/2022 by changing the withdrawal process and including an additional check on enrollment status before NSC file submission. Enrollment Status ? New SQL script check during NSC file submiss...

Reference Number 2022-001 Ranken Technical College has addressed the recent NSLDS reporting concerns as of 11/01/2022 by changing the withdrawal process and including an additional check on enrollment status before NSC file submission. Enrollment Status ? New SQL script check during NSC file submission for changes in enrollment status. The Registration Transaction Log will be compared to the main detail and program 1 detail of the NSC Transaction Detail Table. This is a staging area for our data before submitting flat file to NSC for further checks/review. Withdrawal Process ? Issue with course dismissal reporting of non-attendance of students in General Education courses. New procedures for handling withdrawal scenarios for students clearly outlined and implemented. Withdrawal of Students ? Graduation ? o Exit Degree ? Students are withdrawn ? o Student withdrawals from major courses 1st 8-weeks ? Do not reschedule 2nd 8-weeks ? Drop current unattended courses & future courses ? Exit Degree o Academic Dismissal ? Drop all future courses ? Exit Degree o Not Authorized to Attend (without attending class) ? Drop all current/future term classes ? Exit Degree o Not Authorized to Attend (attending class) ? Withdraw all current/ Drop future term classes ? Exit Degree o Voluntary Withdrawal ? WF grade in technical class results in NIM in technical WEG. ? W grade in technical class ? contact instructor for appropriate WEG grade. ? Drop future courses ? Exit Degree o Course Exceeds Allotted Attendance Withdrawal (when attendance is posted) * ? Assign WF grade for technical/gen ed class. NIM assigned to technical WEG.? Do not reschedule ? If not current in another course drop all future courses ? Exit Degree o Course Exceeds Allotted Attendance Withdrawal (when no attendance is posted) * ? Do not reschedule ? Drop Courses ? If not current in another course drop all future courses ? Exit Degree ? Student not enrolled in courses during current semester ? o Exit Degree Student must attend the 1st 8 weeks to be allowed registration in the 2nd 8 weeks. The fundamental processes of withdrawal and rescheduling have been changed after extensive review of our past errors. New measures employed will eliminate the issues in withdrawal of students and enrollment statuses. Responsible Parties: Daniel Turpiano, Director of Reporting & Registration, Ranken Technical College djturpiano@ranken.edu

View Audit 17396

Finding 13136 (2022-001)

Significant Deficiency 2022

Tallassee City Board of Education

AL

Questioned Costs Allowable Costs / Cost Principles Cash Management

Expenditures submitted for the Alabama Medicaid Administrative Claiming program included expenditures supported by federal funds and undocumented costs. Contact Person: Dr. Brock Nolin, Superintendent Corrective Action: Claims will be adjusted to correct the duplication of federal funds...

Expenditures submitted for the Alabama Medicaid Administrative Claiming program included expenditures supported by federal funds and undocumented costs. Contact Person: Dr. Brock Nolin, Superintendent Corrective Action: Claims will be adjusted to correct the duplication of federal funds and undocumented costs. Policies and procedures will be implemented according to the recommendations found in the Schedule of Findings and Questioned Costs. Proposed Completion Date: Prior to the submission of the July ? September 2023 claim.

View Audit 17333 Questioned Costs: $1

Finding 13133 (2022-001)

None 2022

Clark Public School District

NJ

School Nutrition Programs

A plan is in place to renovate the middle school kitchen as soon as possible.

View Audit 17202

Finding 13129 (2022-004)

None 2022

Topeka Housing Authority

KS

Procurement, Suspension & Debarment HUD Housing Programs

The Authority will execute each of HUD?s corrective actions as specified in its Review Report. The Authority?s Executive Director, Trey George, has assumed the responsibility of executing this corrective action as of December 31, 2023.

View Audit 17166

Finding 13128 (2022-003)

None 2022

Topeka Housing Authority

KS

Allowable Costs / Cost Principles HUD Housing Programs Matching / Level of Effort / Earmarking § 200.403 § 200.405

The Authority will limit funding the COCC from the Public Housing Program, to allowable Fees only. The Authority?s Executive Director, Trey George, has assumed the responsibility of executing this corrective action as of November 1, 2023.

View Audit 17166

Finding 13111 (2022-003)

None 2022

Hazen Public School District No. 3

ND

Allowable Costs / Cost Principles Reporting § 200.512

Contact Person ? Billie Jo Peterson, Business Manager Corrective Action Plan ? This finding is noted together with the Board. The District will ensure timely submission of the data collection form in the future Completion Date ? The District will work to submit timely for future audit periods.

View Audit 17154

Finding 13109 (2022-003)

Material Weakness 2022

Sadler Health Center Corporation

PA

Internal Control / Segregation of Duties HUD Housing Programs Reporting

2002-003 ? Grant Revenue and Schedule of Federal Expenditures Recommendation: The Center needs to emphasize the accounting for grant revenues by source and review the process for tracking grant expenditures. Action Taken: ? Sadler Health Center Corp. was without a full-time Chief Financial Offi...

2002-003 ? Grant Revenue and Schedule of Federal Expenditures Recommendation: The Center needs to emphasize the accounting for grant revenues by source and review the process for tracking grant expenditures. Action Taken: ? Sadler Health Center Corp. was without a full-time Chief Financial Officer for Fiscal Year ended 6/30/2022 due to CFO out on FMLA ? Accounting Department was staffed with a single staff accountant ? Subsequently, CFO on leave retired ? Leadership engaged a fractional, interim CFO ? Leadership hired a full-time Controller, effective date of May 2023 ? Temporary contracted bookkeeper engaged, effective date March 2023 ? Professional recruiting support engaged for CFO search ? Sr. Staff Accountant position has been posted for hire ? Fully staffed Accounting department will consist of the following: o Chief Financial Officer o Controller o Sr. Staff Accountant o Staff Accountant ? Interim CFO and Controller are actively engaged in establishing internal controls and procedures for reconciliation of accounts on a monthly basis; including establishing a daily, weekly, monthly, quarterly and annually tasks list with Assigned personnel and due dates. o This is inclusive of establishing Grant Tracking tools such as, Excel Workbooks, appropriate General Ledger segmenting to be able to assign financial transactions to specific Grants.

View Audit 17693

Finding 13107 (2022-002)

Material Weakness 2022

Sadler Health Center Corporation

PA

Internal Control / Segregation of Duties

2022-002 ? Account Reconciliations Recommendation: The Center needs to ensure the grants receivable, deferred revenue, grant revenue, pledges and accrued expense accounts are reconciled with support and the general ledger on a monthly basis. Action Taken: ? Sadler Health Center Corp. was without a ...

2022-002 ? Account Reconciliations Recommendation: The Center needs to ensure the grants receivable, deferred revenue, grant revenue, pledges and accrued expense accounts are reconciled with support and the general ledger on a monthly basis. Action Taken: ? Sadler Health Center Corp. was without a full-time Chief Financial Officer for Fiscal Year ended 6/30/2022 due to CFO out on FMLA ? Accounting Department was staffed with a single staff accountant ? Subsequently, CFO on leave retired ? Leadership engaged a fractional, interim CFO ? Leadership hired a full-time Controller, effective date of April 2023 ? Temporary contracted bookkeeper engaged, effective date March 2023 ? Professional recruiting support engaged for CFO search ? Sr. Staff Accountant position has been posted for hire ? Fully staffed Accounting department will consist of the following: o Chief Financial Officer o Controller o Sr. Staff Accountant o Staff Accountant ? Interim CFO and Controller are actively engaged in establishing internal controls and procedures for reconciliation of accounts on a monthly basis; including establishing a daily, weekly, monthly, quarterly and annually tasks list with Assigned personnel and due dates.

View Audit 17693

Finding 13106 (2022-003)

None 2022

Arkansas Alliance of Boys & Girls Clubs, Inc.

AR

Reporting Subrecipient Monitoring Internal Control / Segregation of Duties § 200.414 § 200.502

Name of Responsible Individual(s): Jason Penegar, BGCA Vice President ? Controller Shelby Mahoney, Accounting Manager - State Alliances Corrective Action: The fiscal team will enhance its procedures and internal controls with respect to preparation and review of the SEFA. Grant agreements will ...

Name of Responsible Individual(s): Jason Penegar, BGCA Vice President ? Controller Shelby Mahoney, Accounting Manager - State Alliances Corrective Action: The fiscal team will enhance its procedures and internal controls with respect to preparation and review of the SEFA. Grant agreements will be reviewed to confirm if expenditures from pass-through entities are related to federal or state grants, and appropriately include applicable federal grants and pass-through funds in the SEFA. Anticipated Completion Date: December 31, 2023

View Audit 17603

Finding 13105 (2022-005)

Significant Deficiency 2022

Borough of Berwick

PA

Internal Control / Segregation of Duties

Finding 2022-005 Grant Program/CFDA#: COVID-19 Local Fiscal Recovery Funds, 21.027 Federal Agency/Pass-Through Entity: United States Department of Treasury Finding - Segregation of Duties: A limited number of personnel are involved in accounting functions in which they are responsible for al...

Finding 2022-005 Grant Program/CFDA#: COVID-19 Local Fiscal Recovery Funds, 21.027 Federal Agency/Pass-Through Entity: United States Department of Treasury Finding - Segregation of Duties: A limited number of personnel are involved in accounting functions in which they are responsible for all related transactions (i.e. the same person recording transactions, preparing checks, recording cash disbursements, mailing checks and reconciling bank accounts, etc.). This lack of segregation of duties results in a weakness within the Borough?s internal control system. It was recommended by the auditors that a greater segregation of duties can be achieved by the implementation of additional procedures that utilize current and new personnel. However, in evaluating this need, the Borough must weigh the cost of employing additional personnel against the benefits to be derived there from. Borough Response: The Borough understands that it only has a limited number of employees within the business office to assign certain duties. Additionally, it understands the various employees? capabilities restrict its options to achieve an optimal segregation of duties. Consequently, the Borough has determined that with its current checks and balances in place, it feels it has achieved its optimal segregation of duties. It does not expect to generate any future benefit by expending additional funding to achieve a greater segregation of duties.

View Audit 17459

Finding 13104 (2022-004)

Material Weakness 2022

Borough of Berwick

PA

Reporting Internal Control / Segregation of Duties

Finding 2022-004 Grant Program/CFDA#: COVID-19 Local Fiscal Recovery Funds, 21.027 Federal Agency/Pass-Through Entity: United States Department of Treasury Finding - General - Financial Statement Preparation: In connection with the audit of the Borough of Berwick?s financial statements, like...

Finding 2022-004 Grant Program/CFDA#: COVID-19 Local Fiscal Recovery Funds, 21.027 Federal Agency/Pass-Through Entity: United States Department of Treasury Finding - General - Financial Statement Preparation: In connection with the audit of the Borough of Berwick?s financial statements, like most smaller local governmental entities, management has requested that its external auditors assist in the drafting of the schedule of expenditures of federal awards. Borough management has determined that it is more cost-beneficial to utilize the services of its auditors to assist in drafting the schedule of expenditures of federal awards, as opposed to hiring a professional accountant trained in such matters. While the Borough?s internal accounting personnel have the ability to interpret and understand its schedule of expenditures of federal awards, they do not have sufficient experience in preparing that schedule in accordance with generally accepted accounting principles. It was recommended by the auditors that management should prepare its schedule of expenditures of federal awards. However, in evaluating this need, the Borough must weigh the cost of employing additional personnel against the benefits to be derived therefrom. Borough Response: The Borough will consider training staff to achieve these duties, but it does not expect to hire additional personnel to perform these duties.

View Audit 17459

Finding 13103 (2022-003)

Material Weakness 2022

Erie County Community College of Pennsylvania

PA

Questioned Costs Procurement, Suspension & Debarment § 200.237 § 200.318

View of Responsible Officials and Planned Corrective Action: EC3 agrees with the recommendation of its auditor, Maher Duessel, that the EC3 Finance Department must ensure that EC3 follows the approved and compliant purchasing practices. However, in the beginning, the College was still in a start-up...

View of Responsible Officials and Planned Corrective Action: EC3 agrees with the recommendation of its auditor, Maher Duessel, that the EC3 Finance Department must ensure that EC3 follows the approved and compliant purchasing practices. However, in the beginning, the College was still in a start-up mode and most of its essential purchases from Vendors could not meet EC3?s aggressive timetable to get the College up and running. So being practical, the College needed to act fast to get its provisions in place to get the College up and running, and although this was an informal process, the Management team diligently reviewed, justified, and approved all the purchases based on the supporting documentation. As of August 2022, the Finance Department has recognized the lack of internal control over the financial purchasing process and has informally enforced the purchasing policy. The Finance Department will be reviewing all EC3 financial policies, including its purchasing policy and will be making recommendations to the EC3?s Cabinet and Board of Trustees. The Finance Department will and must enforce the purchasing policy, once approved, update the policy online and ensure the policy is followed by EC3 staff and its compliant with the Commonwealth of Pennsylvania Policies.

View Audit 17089 Questioned Costs: $1

Finding 13102 (2022-002)

Material Weakness 2022

Erie County Community College of Pennsylvania

PA

HUD Housing Programs Reporting Internal Control / Segregation of Duties

View of Responsible Officials and Planned Corrective Action: EC3 agrees with the recommendation of its auditors, Maher Duessel, that EC3 Finance Department must ensure that the proper GAAP?s concerning capital asset additions, depreciation expense, student tuition, fees, federal and local grant rev...

View of Responsible Officials and Planned Corrective Action: EC3 agrees with the recommendation of its auditors, Maher Duessel, that EC3 Finance Department must ensure that the proper GAAP?s concerning capital asset additions, depreciation expense, student tuition, fees, federal and local grant revenue and unearned revenue, leases, prepaids, and payroll liabilities are accurately approved, recorded, and reconciled on a timely basis to ensure that the financial statements can be prepared internally in accordance with GAAP. The financials must be provided to Management for review and approval at year-end for the auditors to prepare their independent audit, based on the financial statements presented to them by Management. As of July 2022, the Finance Department has recognized the lack of internal control over the financial reporting process. The Finance Department is currently reviewing and adjusting all account balances, ensuring that the past and current transactions have support documentation and are accurately recorded. This includes performing all reconciliations of balance sheet accounts to ensure the financial activity of EC3 is presented accurately and is compliant with GAAP.

View Audit 17089

Finding 13101 (2022-001)

Significant Deficiency 2022

Home of Guiding Hands Corporation and Affiliates

CA

Questioned Costs HUD Housing Programs Matching / Level of Effort / Earmarking § 200.303

Finding 2022-001 a. Program Information: 14.181 Supportive Housing for Persons with Disabilities b. Criteria: In accordance with 2 CFR 200.303, nonfederal entities receiving Federal awards (i.e., auditee management) must establish and maintain internal controls designed to reasonably ensure compli...

Finding 2022-001 a. Program Information: 14.181 Supportive Housing for Persons with Disabilities b. Criteria: In accordance with 2 CFR 200.303, nonfederal entities receiving Federal awards (i.e., auditee management) must establish and maintain internal controls designed to reasonably ensure compliance with Federal statutes, regulations, and the terms and conditions of the Federal award. According to the Anja House Regulatory Agreement, item 5(a) issued by the U.S. Department of Housing and Urban Development (HUD), the mortgager will deposit an amount equal to $173 per month into a reserve fund for replacements in a separate account unless a different date or amount is approved in writing by HUD. c. Condition: Internal controls were not in place to ensure timely compliance with the requirement to deposit the specified amount into the reserve fund account monthly and deposits for the months of December 2021 and June 2022 were not made. Response: a. A process is being implemented that a formal transfer request will be made to the Controller every month detailing the monthly transfers required by HUD using the monthly vouchers received by Home of Guiding Hands. There is an existing process in place to reconcile transfers to the HUD vouchers. This will provide more oversight on these transactions and ensure timely compliance with the requirement to deposit the specified amount into the reserve fund account. Contact person responsible for corrective action: Jan Adams, CFO Anticipated completion date: October 21, 2022

View Audit 17434 Questioned Costs: $1

Finding 13099 (2022-017)

Significant Deficiency 2022

City and County of Denver

CO

Questioned Costs Allowable Costs / Cost Principles Matching / Level of Effort / Earmarking § 200.303 § 200.430

2022-017 Finding: - ALN 93.914 ? HIV Emergency Relief Project Grants (Non-Major) / Department of Health and Human Services / Award Number: H89HA00027-28-00, H89HA00027-28-01/ Award Year: 2021 Status: Corrective action in progress Corrective Action: The City agrees with the finding. The review of per...

2022-017 Finding: - ALN 93.914 ? HIV Emergency Relief Project Grants (Non-Major) / Department of Health and Human Services / Award Number: H89HA00027-28-00, H89HA00027-28-01/ Award Year: 2021 Status: Corrective action in progress Corrective Action: The City agrees with the finding. The review of personnel costs that are not 100% allocated to the grant will be reviewed annually as a part of the annual budget planning process. Allocation decisions will be documented and attached to budget planning documents. Person(s) Responsible for Implementing: DDPHE ?Tristan Sanders, Robert George Implementation Date: October 2023

View Audit 17407 Questioned Costs: $1

Finding 13081 (2022-007)

Significant Deficiency 2022

City and County of Denver

CO

Subrecipient Monitoring § 200.303 § 200.332

2022-007 Finding: Subrecipient Monitoring - ALN 93.391 ? Activities to Support State, Tribal, Local and Territorial (STLT) Health Department Response to Public Health or Healthcare Crises / Department of Health and Human Services / Award Number: ENVHL-202159027 / Award Year: 2021 Status: Corrective ...

2022-007 Finding: Subrecipient Monitoring - ALN 93.391 ? Activities to Support State, Tribal, Local and Territorial (STLT) Health Department Response to Public Health or Healthcare Crises / Department of Health and Human Services / Award Number: ENVHL-202159027 / Award Year: 2021 Status: Corrective action in progress Corrective Action: The City agrees with the finding. DDPHE will consult with the City?s Federal Grants Manager, other agencies that typically have subrecipients for federal awards, and the City Attorney?s Office to review the current standard contract provisions to ensure they cover all required provisions and will modify those provisions accordingly. Person(s) Responsible for Implementing: DDPHE ? Paige Cheney Implementation Date: October 2023

View Audit 17407

Finding 13073 (2022-012)

Material Weakness 2022

City and County of Denver

CO

Procurement, Suspension & Debarment Subrecipient Monitoring § 200.303

2022-012 Finding: Procurement and Suspension and Debarment - ALN 21.027 - Coronavirus State and Local Fiscal Recovery Funds / Department of the Treasury / Award Number: N/A / Award Year: 2020 ALN 93.391 - Activities to Support State, Tribal, Local and Territorial (STLT) Health Department Response to...

2022-012 Finding: Procurement and Suspension and Debarment - ALN 21.027 - Coronavirus State and Local Fiscal Recovery Funds / Department of the Treasury / Award Number: N/A / Award Year: 2020 ALN 93.391 - Activities to Support State, Tribal, Local and Territorial (STLT) Health Department Response to Public Health or Healthcare Crises / Department of Health and Human Services / Award Number: ENVHL-202159027 / Award Year: 2021 Status: Corrective action in progress Corrective Action: 21.027 - The City agrees with the finding and will continue to make the necessary improvements to ensure that all vendors are appropriately verified on SAM.gov and documented in our system of record. The City will also continue to provides periodic training to ensure that the agencies are aware of all grant administration standards required by the City. 93.391 - DDPHE completed SAM.gov searches initially for the vendors however did not document the search. SAM.gov verification been documented in prior audits and as of January 1, 2023 we have implemented this step into our policies and procedures moving forward. Person(s) Responsible for Implementing: 21.027 DOF ? Dan Fetcher, 93.391 DDPHE - Paige Cheney Implementation Date: 21.027 - August 2023, 93.391 - August 2023

View Audit 17407

Finding 13071 (2022-013)

Significant Deficiency 2022

City and County of Denver

CO

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

2022-013 Finding: Activities Allowed and Unallowed, Allowable Costs - ALN 21.023 ? Emergency Rental Assistance Program / Department of the Treasury / Award Number: ERAE0437; ERAE0436 / Award Year: 2021 Status: Corrective action complete Corrective Action: The City agrees with the finding and have im...

2022-013 Finding: Activities Allowed and Unallowed, Allowable Costs - ALN 21.023 ? Emergency Rental Assistance Program / Department of the Treasury / Award Number: ERAE0437; ERAE0436 / Award Year: 2021 Status: Corrective action complete Corrective Action: The City agrees with the finding and have implemented procedures ensure that all timecards for individuals charging time and effort to the program be subjected to review prior to payroll being processed. Due to mitigating circumstances beyond HOST?s control, the City was not able to utilize the electronic timekeeping system due to a global Kronos ransomware attack. During the outage the City was limited to a web-based timesheet that unfortunately did not ensure supervisor approval. The City was eventually able to begin the process of restoring Kronos in June/July 2022. We have now transitioned to tracking time and effort in Workday beginning August 1, 2023 that requires allocations for employees charging to grants, and supervisor review and approval. Person(s) Responsible for Implementing: HOST ? Melissa Thate Implementation Date: Complete

View Audit 17407

Finding 13070 (2022-011)

Significant Deficiency 2022

City and County of Denver

CO

Subrecipient Monitoring Allowable Costs / Cost Principles Reporting § 200.303

2022-011 Finding: Reporting - ALN 21.023 ? Emergency Rental Assistance Program / Department of the Treasury / Award Number: ERAE0436, ERAE0437/Award Year: 2021 Status: Corrective action in progress Corrective Action: The City agrees with the finding and has established a reporting checklist. The che...

2022-011 Finding: Reporting - ALN 21.023 ? Emergency Rental Assistance Program / Department of the Treasury / Award Number: ERAE0436, ERAE0437/Award Year: 2021 Status: Corrective action in progress Corrective Action: The City agrees with the finding and has established a reporting checklist. The checklist includes saving supporting documentation for all numbers submitted on reports, a final supervisor review of supporting documentation and report numbers, and an email approval with evidence of the review of documentation supporting the numbers being submitted in reports. Likewise, the Grant Administrator Policies & Procedures outlines the internal controls outlined in 2 CFR Section 200.303 that supports a continuous built-in component of operations and a system of fiscal reviews. Grant Administrator Policies & Procedures, Reporting Purpose Statement: Grants awarded to HOST may require that progress, programmatic and financial reports be submitted to the grantor. Accurate and timely reporting is critical to maintaining a good relationship with the grantor. Late or inaccurate reports may negatively impact current or future funding. Grant Reporting Policy: ** HOST will prepare timely and accurate financial or programmatic reports as required by grantor. ** The Financial Services Unit shall submit all financial reports, grant budget adjustments, and reimbursement requests to the grantor. ** All copies of submitted reports will be maintained in a master file. ** For internal control purposes, all reports shall be prepared by the appropriate staff, then submitted for approval after review from a manager or supervisor for content, accuracy, and revise as appropriate. ** Copies of all financial status and final reports prepared for submission to the grantor shall be provided, along with the associated grant name and year to the Office of Grant Administration at the time of submission to the grantor. Person(s) Responsible for Implementing: HOST - Housing Stability and Homelessness Resolution Division Directors Implementation Date: August 31, 2023

View Audit 17407

Finding 13066 (2022-018)

Material Weakness 2022

City and County of Denver

CO

Reporting Subrecipient Monitoring § 200.512

2022-018 Finding: - All Major Programs Status: Corrective action in progress Corrective Action: The number of major programs, numerous COVID-funded grants, along with the hiring of a new auditor, resulted in the late filing. The City is aware of the submission deadlines and will be filing its data c...

2022-018 Finding: - All Major Programs Status: Corrective action in progress Corrective Action: The number of major programs, numerous COVID-funded grants, along with the hiring of a new auditor, resulted in the late filing. The City is aware of the submission deadlines and will be filing its data collection form for the year ended December 31, 2022 by the required deadline. The City and its external auditors are in the process of detailing a plan to complete the next year?s audit by an earlier date, which will also result in a timely submission. Person(s) Responsible for Implementing: Jessica Chandler ? Department of Finance Implementation Date: September 2023

View Audit 17407

Finding 13060 (2022-014)

Significant Deficiency 2022

City and County of Denver

CO

Subrecipient Monitoring Reporting Matching / Level of Effort / Earmarking § 200.303

2022-014 Finding: Reporting - ALN 14.241 ? Housing Opportunities for Persons with AIDS / Department of Housing and Urban Development / Award Number: COH20-FHW001; COH21-F001; COH20-F001 / Award Year: 2020; 2021 Status: Corrective action in progress Corrective Action: The City agrees with the finding...

2022-014 Finding: Reporting - ALN 14.241 ? Housing Opportunities for Persons with AIDS / Department of Housing and Urban Development / Award Number: COH20-FHW001; COH21-F001; COH20-F001 / Award Year: 2020; 2021 Status: Corrective action in progress Corrective Action: The City agrees with the finding, and we have implemented procedures to ensure submissions of FFATA reports are reviewed. Due to mitigating circumstances beyond HOST?s control, the issuance of a federal Unique Entity Identifier (UEI) was significantly delayed. HOST was able to obtain its Unique Entity Identifier (UEI) on September 14, 2022. Reports are current through FY2022, and proof of the submissions were provided to BDO on July 29, 2023 in response to this finding. This matter has been remediated going forward, however, per the assessment, this issue is a carryover into 2022 sub-awards based on the contract timeframes. Person(s) Responsible for Implementing: HOST Operations Division Directors Implementation Date: July 2023

View Audit 17407

Finding 13058 (2022-016)

Significant Deficiency 2022

City and County of Denver

CO

Matching / Level of Effort / Earmarking HUD Housing Programs Reporting § 200.302 § 200.303

2022-016 Finding: Program Income - ALN 14.239 ? Home Investment Partnerships Program / Department of Housing and Urban Development / Award Number: M22-MC080204 / Award Year: 2022 Status: Corrective action in progress Corrective Action: The City agrees with the finding as this was a simple oversight ...

2022-016 Finding: Program Income - ALN 14.239 ? Home Investment Partnerships Program / Department of Housing and Urban Development / Award Number: M22-MC080204 / Award Year: 2022 Status: Corrective action in progress Corrective Action: The City agrees with the finding as this was a simple oversight for the finance team due to the extreme staff shortages we?ve encountered over the last year. HOST has a process of reviewing and approving program income in Workday and associated grantor entries. We are filling vacancies to support the general ledger transactions and currently onboarding a new staff accountant to support this effort. Del Norte Loan # 34-36-01 had cash flow in 2021, and a subsequent payment due in 2022. An interest payment of $48,500 was completed credited correctly. The interest was booked in the General Ledger (GL) under HOME/GR2437 instead of NSP2/GR98, causing the NR to be inaccurately overstated in HOME/GR2437 and understated NSP2/GR98. This has been remediated going forward by practicing a process of reconciling each fund with each revenue category. Person(s) Responsible for Implementing: HOST ? Ami Webb Implementation Date: August 2023

View Audit 17407

Corrective Action Plans

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