Corrective Action Plans

Finding 571704 (2024-001)

Significant Deficiency 2024

NY

Matching / Level of Effort / Earmarking Internal Control / Segregation of Duties Subrecipient Monitoring

Program: Continuum of Care Program (ALN 14.267) Federal Agency: U.S. Department of Housing and Urban Development Corrective Action Plan: To address the issue of the indirect rate not being correctly charged to the grants the finance department has purchased a budget software, VENA, which will cal...

Program: Continuum of Care Program (ALN 14.267) Federal Agency: U.S. Department of Housing and Urban Development Corrective Action Plan: To address the issue of the indirect rate not being correctly charged to the grants the finance department has purchased a budget software, VENA, which will calculate the indirect rate based on the approved rate in the contracts. The Financial Reporting Manager will ensure the formulas are calculated based on the approved rates, which is a new position in the department. The accounting staff on a quarterly basis will reconcile the calculation on the trial balance to an independent calculation done by the Financial Reporting Manager. Any variances will be adjusted on the ledger and the billing in a timely manner to ensure the rates are correct. Person Responsible: Oona Kossally, Financial Reporting Manager Expected Completion: Ongoing – Reconciliations will begin with the June 30th 2025 year end financials and moving forward will be on at the end of each quarter.

View Audit 362668

Finding 571703 (2024-002)

Material Weakness 2024

National Association of Chronic Disease Directors

GA

Questioned Costs Reporting Cash Management § 200.305 § 200.327 § 200.516

Correction action • Finance team is in the process of implementing a new financial accounting (Grants Management System, Sage) system to ensure that coding for grants are accurately tracked. Internal reports will be built to provide monthly analysis of individual grants. Finance will work with progr...

Correction action • Finance team is in the process of implementing a new financial accounting (Grants Management System, Sage) system to ensure that coding for grants are accurately tracked. Internal reports will be built to provide monthly analysis of individual grants. Finance will work with program staff to ensure timely and accurate budget to actuals review and reconciliations. • Finance will contact Grant Manager responsible for each grant to develop plan of action for returning any overdrawn funds. Responsible Person • Associate Director - Finance Anticipated completion date • September 30, 2025

View Audit 362661 Questioned Costs: $1

Finding 571702 (2024-003)

Material Weakness 2024

National Association of Chronic Disease Directors

GA

Questioned Costs Allowable Costs / Cost Principles Cash Management § 200.305 § 200.403 § 200.405 § 200.430

Correction action • Finance will work HR and Program staff to document written procedures for staffing allocations. • Finance will strengthen monthly project monitoring of project activity and also ensure that budget changes, if necessary, are approved by the Grants Manager. • Drawdown process is be...

Correction action • Finance will work HR and Program staff to document written procedures for staffing allocations. • Finance will strengthen monthly project monitoring of project activity and also ensure that budget changes, if necessary, are approved by the Grants Manager. • Drawdown process is being revised to ensure that the general ledger activity, pending draw request, and vendor payables are all in sync. • Finance will contact Grant Manager responsible for each grant to develop plan of action for returning any overdrawn funds. Responsible Person • Associate Director - Finance Anticipated completion date • September 30, 2025

View Audit 362661 Questioned Costs: $1

Finding 571701 (2024-003)

Significant Deficiency 2024

Russell Rural Water District No. 3

KS

Procurement, Suspension & Debarment

SIGNIFICANT DEFICIENCY 2024-003 Water and Waste Disposal Systems for Rural Communities Condition During inquiry of District management, it was determined that the District did not have the required written policies in place to be followed. Recommendation We recommend that the District’s written poli...

SIGNIFICANT DEFICIENCY 2024-003 Water and Waste Disposal Systems for Rural Communities Condition During inquiry of District management, it was determined that the District did not have the required written policies in place to be followed. Recommendation We recommend that the District’s written policies be updated to properly reflect all requirements. Comments on the Finding Management is aware of the oversight and has begun the process of creating a written policy. Actions Taken As of the date of this notice, management has begun drafting written policies that will be implemented prior to the end of the current fiscal year.

View Audit 362656

Finding 571699 (2024-005)

Material Weakness 2024

Municipality of Añasco

PR

Subrecipient Monitoring Matching / Level of Effort / Earmarking Internal Control / Segregation of Duties § 200.302 § 200.403

In response to the Auditor’s recommendations and as corrective action, the responsible staff or department will locate, and document all required reports that were filed in accordance with the grant agreement requirements, including reconciliations with the Municipality’s official accounting subsidi...

In response to the Auditor’s recommendations and as corrective action, the responsible staff or department will locate, and document all required reports that were filed in accordance with the grant agreement requirements, including reconciliations with the Municipality’s official accounting subsidiary ledgers. Furthermore, the Municipality will design, document, establish, and provide the necessary training, along with written guidelines and procedures, to all personnel who work directly or indirectly with the management of these federal funds.

View Audit 362633

Finding 571697 (2024-004)

Material Weakness 2024

Municipality of Añasco

PR

Subrecipient Monitoring Allowable Costs / Cost Principles Reporting § 200.1 § 200.302 § 200.403

Following the Auditor's recommendations and as corrective action, the staff or department in charge locate and document all required reports that were filed according to the requirements of the grant agreement, including reconciliation thereof with the official Municipality’s accounting subsidiaries...

Following the Auditor's recommendations and as corrective action, the staff or department in charge locate and document all required reports that were filed according to the requirements of the grant agreement, including reconciliation thereof with the official Municipality’s accounting subsidiaries. In addition, the Municipality will design, document, establish and provide the necessary and required training, including guidelines and procedures, to all personnel who work directly or indirectly with the management of these federal funds.

View Audit 362633

Finding 571695 (2024-003)

Material Weakness 2024

Municipality of Añasco

PR

Subrecipient Monitoring Allowable Costs / Cost Principles Reporting § 200.1 § 200.302 § 200.403

The Municipality will designate the appropriate personnel to systematically identify, compile, and securely retain all required reports as stipulated in the grant agreement, ensuring reconciliation with the official accounting records and subsidiary ledgers. Furthermore, the Municipality will develo...

The Municipality will designate the appropriate personnel to systematically identify, compile, and securely retain all required reports as stipulated in the grant agreement, ensuring reconciliation with the official accounting records and subsidiary ledgers. Furthermore, the Municipality will develop and implement a comprehensive training program, accompanied by detailed written guidelines and procedures, to equip all staff involved in managing federal funds with the necessary knowledge and tools to maintain compliance and enhance accountability.

View Audit 362633

Finding 571694 (2024-005)

Significant Deficiency 2024

Tensas Community Health Center

LA

The Center acknowledges the audit finding and has taken corrective actions to address the issue identified in 2024-005. This included collaborating with the electronic health record (EHR) vendor to resolve the sliding fee setup in the system. However, some remaining issues require additional improve...

The Center acknowledges the audit finding and has taken corrective actions to address the issue identified in 2024-005. This included collaborating with the electronic health record (EHR) vendor to resolve the sliding fee setup in the system. However, some remaining issues require additional improvements through updated standard operating procedures (SOP). To address these, the Center will create SOPs for fee updates related to sliding fee schedules and provide clarification on how the system calculates discounts. Additionally, the Center identified an error in the sliding fee discount setup for dental fee calculations, which will be resolved by the end of March 2025. Staff have been directed to manually verify sliding fee calculations performed by the EHR system until all identified issues with the billing system have been resolved.

View Audit 362631

Finding 571682 (2024-001)

Material Weakness 2024

Town of East Hampton

NY

HUD Housing Programs Cash Management Reporting

Management has employed an outside consultants to assist in resolving past issues which will then help facilitate with entering the ensuing years data for the Section 8 Housing Choice Vouchers Program. The plan is to resolve the previous filing issues by 9/30/25. This will ensure that 2025 submissio...

Management has employed an outside consultants to assist in resolving past issues which will then help facilitate with entering the ensuing years data for the Section 8 Housing Choice Vouchers Program. The plan is to resolve the previous filing issues by 9/30/25. This will ensure that 2025 submission will be filed by May 31st, 2026.

View Audit 362619

Finding 571678 (2024-001)

Material Weakness 2024

Illinois Manufacturing Excellence Center

IL

Allowable Costs / Cost Principles Material Weakness Reporting

Management agrees with the finding. As of June 2025, IMEC has begun implementing a formal financial statement review policy.

View Audit 362616

Finding 571672 (2024-002)

Material Weakness 2024

Oro Grande School District

CA

Cash Management Reporting Internal Control / Segregation of Duties

The District will create a procedure for monthly review of meal counts at sites and reconciliation with the monthly claims. Reports will require a second person to review and approve before filing. The Director of Nutrition Services will review the Title 7 requirements and review the newprocedure fo...

The District will create a procedure for monthly review of meal counts at sites and reconciliation with the monthly claims. Reports will require a second person to review and approve before filing. The Director of Nutrition Services will review the Title 7 requirements and review the newprocedure for compliance.

View Audit 362615

Finding 571669 (2024-002)

Significant Deficiency 2024

Lutheran Services in Iowa, Inc.

IA

Allowable Costs / Cost Principles Period of Performance Significant Deficiency § 200.303

Unaccompanied Children Program Assistance Listing No. 93.676 Recommendation: We recommend LSI design controls to ensure an adequate review process is in place for all disbursements. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in respo...

Unaccompanied Children Program Assistance Listing No. 93.676 Recommendation: We recommend LSI design controls to ensure an adequate review process is in place for all disbursements. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: Review all timesheet approvals are completed monthly. Name(s) of the contact person(s) responsible for corrective action: Roni Knief Planned completion date for corrective action plan: Complete and ongoing

View Audit 362611

Finding 571666 (2024-001)

Significant Deficiency 2024

Lutheran Services in Iowa, Inc.

IA

Cash Management Student Financial Aid Allowable Costs / Cost Principles § 200.303

Title IV-E Foster Care Assistance Listing No. 93.658 Recommendation: We recommend LSI design controls to ensure an adequate review process is in place for all drawdown requests. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response ...

Title IV-E Foster Care Assistance Listing No. 93.658 Recommendation: We recommend LSI design controls to ensure an adequate review process is in place for all drawdown requests. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: Preparer of drawdown request will have approval from another finance team member. Name(s) of the contact person(s) responsible for corrective action: Roni Knief Planned completion date for corrective action plan: Complete and ongoing

View Audit 362611

Finding 571662 (2024-002)

Significant Deficiency 2024

Neighborhood Development Alliance, Inc.

MN

Internal Control / Segregation of Duties

FINDING 2024-002: Controls Over Accounting of Real Estate Subsidiaries - Responsible party for the corrective action – Maria Steffel, Executive Director Recommendation – We recommend that th...

FINDING 2024-002: Controls Over Accounting of Real Estate Subsidiaries - Responsible party for the corrective action – Maria Steffel, Executive Director Recommendation – We recommend that the property management agent enhance its internal controls, policies and procedures to ensure that all accounting activity is accurately and timely recorded. Auditee's comments and response – Management agrees with the finding. Effective October 1, 2024, NeDA moved the management of its real estate subsidiaries to a new property management agent. Planned completion date for corrective action plan: For the year ending June 30, 2025.

View Audit 362610

Finding 571658 (2024-001)

Significant Deficiency 2024

Neighborhood Development Alliance, Inc.

MN

Internal Control / Segregation of Duties

FINDING 2024-001: Lack of Segregation of Duties - Responsible party for the corrective action – Maria Steffel, Executive Director Recommendation – Management, the contract accountant, and the Board of NeDA should remain involved on the financial affairs of NeDA on ...

FINDING 2024-001: Lack of Segregation of Duties - Responsible party for the corrective action – Maria Steffel, Executive Director Recommendation – Management, the contract accountant, and the Board of NeDA should remain involved on the financial affairs of NeDA on a regular basis to provide oversight and independent review functions and mitigate the weakness created by the lack of segregation. Auditee's comments and response – Management, the Board, and its accounting staff will regularly monitor financial reports and activities of NeDA. Planned completion date for corrective action plan: For the year ending June 30, 2025.

View Audit 362610

Finding 571653 (2024-003)

Material Weakness 2024

Hennepin County Minnesota

MN

Eligibility Allowable Costs / Cost Principles Material Weakness

Program: Medical Assistance Program. Assistance Listing Number 93.778 Type of Finding: Material Weakness in Internal Control over Compliance Condition: During our testing, we noted the following instance of noncompliance in the sample of sixty case files tested: • One MAXIS case file did not h...

Program: Medical Assistance Program. Assistance Listing Number 93.778 Type of Finding: Material Weakness in Internal Control over Compliance Condition: During our testing, we noted the following instance of noncompliance in the sample of sixty case files tested: • One MAXIS case file did not have a renewal application on file. In addition, the County does not have a formalized supervisory case file review process in place to ensure accuracy and completeness of inputs into the two eligibility determination systems, MAXIS and METS. Hennepin County’s Corrective Action Planned in Response to Finding: Hennepin County will strengthen internal controls over inputs used to determine eligibility to ensure they are correctly entered, and the information required by the contact is retained in the County’s records. Hennepin County Employee Responsible for the CAP: Vickie Goulette Planned Completion Date for CAP: December 31, 2025

View Audit 362609

Finding 571652 (2024-004)

Significant Deficiency 2024

Hennepin County Minnesota

MN

Allowable Costs / Cost Principles Matching / Level of Effort / Earmarking Significant Deficiency

Program: Supplemental Nutrition Assistance Program (SNAP). Assistance Listing # 10.564 Medical Assistance Program. AssistanceListing Number 93.778 Temporary Assistance for Needy Families (TANF). Assistance Listing Number 93.558 Type of Finding: Significant Deficiency in Internal Control over Co...

Program: Supplemental Nutrition Assistance Program (SNAP). Assistance Listing # 10.564 Medical Assistance Program. AssistanceListing Number 93.778 Temporary Assistance for Needy Families (TANF). Assistance Listing Number 93.558 Type of Finding: Significant Deficiency in Internal Control over Compliance Condition: During our testing of random moment studies one individual was reported on the second quarter time study report and five individuals were reported on the third quarter report that were terminated or resigned prior to the start of the respective quarter. Hennepin County’s Corrective Action Planned in Response to Finding: Hennepin County will review its procedures for giving timely updates to the random moments listing for the State of Minnesota. Hennepin County Employee Responsible for the CAP: Samantha Braun Planned Completion Date for CAP: December 31, 2025

View Audit 362609

Finding 571651 (2024-002)

Material Weakness 2024

Hennepin County Minnesota

MN

Eligibility Allowable Costs / Cost Principles Material Weakness

Program(s): Supplemental Nutrition Assistance Program (SNAP). Assistance Listing Number 10.561 Type of Finding: Material Weakness in Internal Control over Compliance Condition: During our testing, we noted the following three instances of noncompliance in the sample of forty case files tested:...

Program(s): Supplemental Nutrition Assistance Program (SNAP). Assistance Listing Number 10.561 Type of Finding: Material Weakness in Internal Control over Compliance Condition: During our testing, we noted the following three instances of noncompliance in the sample of forty case files tested: • One MAXIS case files did not have a renewal application on file. • One MAXIS case file did not have a signed application on file. • One MAXIS case file did not have documentation matching the income on file. In addition, the County does not have a formalized supervisory case file review process in place to ensure accuracy and completeness of inputs into the eligibility determination system, MAXIS. Hennepin County’s Corrective Action Planned in Response to Finding: Hennepin County will strengthen internal controls over inputs used to determine eligibility to ensure they are correctly entered, and the information required by the contract will be retained in the County’s records Hennepin County Employee Responsible for the CAP: Jennifer Frey Planned Completion Date for CAP: December 31, 2025

View Audit 362609

Finding 571650 (2024-003)

None 2024

Brockwood Community Association 054-11142

NC

Procurement, Suspension & Debarment HUD Housing Programs Reporting § 200.512

Brockwood Community Association 801 W. Washington Street Greenville, South Carolina 29601 CORRECTIVE ACTION PLAN April 14, 2025 U.S. Department of Housing and Urban Development Charles Bennett Federal Building 400 West Bay Street, Suite 1015 Jacksonville, Florida...

Brockwood Community Association 801 W. Washington Street Greenville, South Carolina 29601 CORRECTIVE ACTION PLAN April 14, 2025 U.S. Department of Housing and Urban Development Charles Bennett Federal Building 400 West Bay Street, Suite 1015 Jacksonville, Florida 32202 Brockwood Community Association respectfully submits the following Corrective Action Plan for the year ended December 31, 2024. Bernard Robinson & Company, L.L.P. 1501 Highwoods Blvd., Suite 300 Post Office Box 19608 Greensboro, North Carolina 27419-9608 The finding from the year ended December 31, 2024 Schedule of Findings and Questioned Costs is discussed below. The finding is numbered consistently with the number assigned in the schedule. FINDING - Federal Award Program Audit Finding 2024-003: U.S. Department of Housing and Urban Development, Mortgage Insurance for the Purchase or Refinancing of Existing Multifamily Projects (Section 223(f)/207) Recommendation: We recommend the board of directors and management ensure that the audit and data collection forms are completed timely and the data collection form and required reporting package are submitted electronically to the FAC each fiscal year going forward by the required due date. Action Taken: We agree with Finding 2024-003 and the recommendation described in the accompanying schedule of findings and questioned costs. Management will provide additional oversight to ensure the data collection forms are submitted electronically to the FAC each fiscal year going forward within required due dates. If HUD has questions regarding this corrective action plan, please call (704) 771-1696. Sincerely yours, Claudia A Keene, CPA Controller Multifamily Select, Inc.

View Audit 362600

Finding 571649 (2024-002)

None 2024

Brockwood Community Association 054-11142

NC

HUD Housing Programs Procurement, Suspension & Debarment Reporting

Brockwood Community Association 801 W. Washington Street Greenville, South Carolina 29601 CORRECTIVE ACTION PLAN April 14, 2025 U.S. Department of Housing and Urban Development Charles Bennett Federal Building 400 West Bay Street, Suite 1015 Jacksonville, Florida...

Brockwood Community Association 801 W. Washington Street Greenville, South Carolina 29601 CORRECTIVE ACTION PLAN April 14, 2025 U.S. Department of Housing and Urban Development Charles Bennett Federal Building 400 West Bay Street, Suite 1015 Jacksonville, Florida 32202 Brockwood Community Association respectfully submits the following Corrective Action Plan for the year ended December 31, 2024. Bernard Robinson & Company, L.L.P. 1501 Highwoods Blvd., Suite 300 Post Office Box 19608 Greensboro, North Carolina 27419-9608 The finding from the year ended December 31, 2024 Schedule of Findings and Questioned Costs is discussed below. The finding is numbered consistently with the number assigned in the schedule. FINDING - Federal Award Program Audit Finding 2024-002: U.S. Department of Housing and Urban Development, Mortgage Insurance for the Purchase or Refinancing of Existing Multifamily Projects (Section 223(f)/207) Recommendation: We recommend the board of directors and management ensure the annual financial report, certified by a Certified Public Accountant, is submitted to HUD each year going forward within 90 days following the fiscal year end. Action Taken: We agree with Finding 2024-002 and the recommendation described in the accompanying schedule of findings and questioned costs. Management will provide additional oversight to ensure the annual financial reports are submitted each fiscal year going forward within required due dates. If HUD has questions regarding this corrective action plan, please call (704) 771-1696. Sincerely yours, Claudia A Keene, CPA Controller Multifamily Select, Inc.

View Audit 362600

Finding 571648 (2024-001)

Significant Deficiency 2024

Brockwood Community Association 054-11142

NC

HUD Housing Programs Procurement, Suspension & Debarment Eligibility

Brockwood Community Association 801 W. Washington Street Greenville, South Carolina 29601 CORRECTIVE ACTION PLAN April 14, 2025 U.S. Department of Housing and Urban Development Charles Bennett Federal Building 400 West Bay Street, Suite 1015 Jacksonville, Florida...

Brockwood Community Association 801 W. Washington Street Greenville, South Carolina 29601 CORRECTIVE ACTION PLAN April 14, 2025 U.S. Department of Housing and Urban Development Charles Bennett Federal Building 400 West Bay Street, Suite 1015 Jacksonville, Florida 32202 Brockwood Community Association respectfully submits the following Corrective Action Plan for the year ended December 31, 2024. Bernard Robinson & Company, L.L.P. 1501 Highwoods Blvd., Suite 300 Post Office Box 19608 Greensboro, North Carolina 27419-9608 The finding from the year ended December 31, 2024 Schedule of Findings and Questioned Costs is discussed below. The finding is numbered consistently with the number assigned in the schedule. FINDING - Federal Award Program Audit Finding 2024-001: U.S. Department of Housing and Urban Development, Mortgage Insurance for the Purchase or Refinancing of Existing Multifamily Projects (Section 223(f)/207) Recommendation: We recommend that the management ensure the required household members sign the HUD-50059 prior to submitting to HUD. Action Taken: We agree with Finding 2024-001 and the recommendation described in the accompanying schedule of findings and questioned costs. Management will ensure that all required signatures are obtained on all Form HUD-50059's prior to submitting to HUD going forward. If HUD has questions regarding this corrective action plan, please call (704) 771-1696. Sincerely yours, Claudia A Keene, CPA Controller Multifamily Select, Inc. Managing Agent

View Audit 362600

Finding 571647 (2024-002)

Significant Deficiency 2024

Santa Maria Community Services, Inc.

OH

Internal Control / Segregation of Duties Reporting Significant Deficiency

Action taken: Program Staff including the Chief Program Officer, Program Director and Supervisor will review required program reporting processes and results in supervision monthly and more often if processes change. This will be communicated to the Executive Team through bimonthly meetings at the m...

Action taken: Program Staff including the Chief Program Officer, Program Director and Supervisor will review required program reporting processes and results in supervision monthly and more often if processes change. This will be communicated to the Executive Team through bimonthly meetings at the minimum. Anticipated Completion: immediately

View Audit 362597

Finding 571646 (2024-001)

None 2024

Santa Maria Community Services, Inc.

OH

Internal Control / Segregation of Duties Reporting

Action taken: Program Staff including the Chief Program Officer, Program Director, and Supervisor will understand and be able to complete and report out on any programmatic reporting relevant to funders requirements. Anticipated Completion: immediately

View Audit 362597

Finding 571642 (2024-003)

Significant Deficiency 2024

Native American Youth and Family Center

OR

Reporting Internal Control / Segregation of Duties

Corrective Action: NAYA experienced disruption due to COVID-19 and organizational growth that had impacts on capacity. New contracts and sources of funding are now being identified and recorded in the accounting system and grants tracker, including programmatic quarterly, semi-annual, and annual rep...

Corrective Action: NAYA experienced disruption due to COVID-19 and organizational growth that had impacts on capacity. New contracts and sources of funding are now being identified and recorded in the accounting system and grants tracker, including programmatic quarterly, semi-annual, and annual reports due. Finance will update the Fiscal Policies and Procedures to include guidelines on Programmatic Reports and Guidelines as well as coordinate with respective departments in meeting the reporting guidelines. Anticipated Completion Date: December 31, 2025

View Audit 362586

Finding 571641 (2024-002)

Material Weakness 2024

Kimball County

NE

Questioned Costs Procurement, Suspension & Debarment § 200.318

Corrective Action Planned: The transit will work with NDOT and FTA as the oversight agencies to determine any necessary changes to the vehicle leases. Anticipated Completion Date: June 30, 2025 Responsible Party: Christy Warner, Transit Administrator

View Audit 362582 Questioned Costs: $1

Corrective Action Plans

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