Corrective Action Plans

Finding 20116 (2022-001)

Material Weakness 2022

GA

Questioned Costs Allowable Costs / Cost Principles HUD Housing Programs

Views of Responsible Officials and Planned Corrective Actions ? AAPHC has evaluated the lost revenue calculation used in the period one Provider Relief Fund reporting and has determined that there would still have been sufficient lost revenue incurred to fully obligate the funds received if 340b pha...

Views of Responsible Officials and Planned Corrective Actions ? AAPHC has evaluated the lost revenue calculation used in the period one Provider Relief Fund reporting and has determined that there would still have been sufficient lost revenue incurred to fully obligate the funds received if 340b pharmacy revenue had been included in the calculation. Management intends to correct the lost revenue previously reported when completing the required reporting for the period four funding cycle. Responsible Official: Milton Jordan, Chief Financial Officer Anticipated completion date: March 31, 2023

View Audit 21769

Finding 20113 (2022-002)

Material Weakness 2022

Mt. Si Senior Center

WA

Questioned Costs Material Weakness Reporting

Views of responsible officials: The project coordinator at the property management firm oversees all recurring projects and ensures deadlines aren't missed. Digital reminders are used to ensure budgets are started and submitted on-time. USDA budgets are required to be submitted 90-days before the en...

Views of responsible officials: The project coordinator at the property management firm oversees all recurring projects and ensures deadlines aren't missed. Digital reminders are used to ensure budgets are started and submitted on-time. USDA budgets are required to be submitted 90-days before the end of the project's fiscal year if a rent increase is being requested and 60-days prior to the end of the fiscal year if no rent increase is requested. The USDA budget submission consists of a hard copy submission comprised of a budget using form 3560-7, a budget narrative, rent increase notice to tenant's (if applicable), and utility allowance calculations (if applicable). Additionally, the budget is submitted electronically through USDA's MINC system. Confirmation of the submission of the USDA budget is provided to the Executive Director and Accounting & HR Technician at Mt. Si Senior Center. Confirmation of the submission of the USDA budget is provided to the Executive Director and Accounting & HR Technician at Mt. Si Senior Center. Confirmation of the submission of the USDA budget is provided to the Executive Director and Accounting & HR Technician at Mt. Si Senior Center.

View Audit 21475

Finding 20111 (2022-003)

Material Weakness 2022

Adventist Health System/west

CA

Procurement, Suspension & Debarment

Finding 2022-003 - Internal control deficiency and noncompliance over procurement The grants management team will be trained on procurement documentations. The documentations will be kept on a shared repository folder and be part of the Fund Transfer Request (FTR) review meetings. Contact Person: A...

Finding 2022-003 - Internal control deficiency and noncompliance over procurement The grants management team will be trained on procurement documentations. The documentations will be kept on a shared repository folder and be part of the Fund Transfer Request (FTR) review meetings. Contact Person: Administrative Director, Grants ? Erasmo ?Tony? Cortez. Expected Completion Date: October 2023.

View Audit 20475

Finding 20110 (2022-002)

Significant Deficiency 2022

Adventist Health System/west

CA

Internal Control / Segregation of Duties Questioned Costs Subrecipient Monitoring

Finding 2022-002 - Internal control deficiency and noncompliance over calculation of indirect costs The grants management team will be trained on the correct indirect cost calculation and requirements. Review of indirect calculation will be included in the Fund Transfer Request (FTR) review meetings...

Finding 2022-002 - Internal control deficiency and noncompliance over calculation of indirect costs The grants management team will be trained on the correct indirect cost calculation and requirements. Review of indirect calculation will be included in the Fund Transfer Request (FTR) review meetings. Contact person: Administrative Director, Grants ? Erasmo ?Tony? Cortez. Expected Completion Date: October 2023.

View Audit 20475 Questioned Costs: $1

Finding 20109 (2022-001)

Material Weakness 2022

Adventist Health System/west

CA

Allowable Costs / Cost Principles Reporting Internal Control / Segregation of Duties

Finding 2022-001 - Internal control deficiency and noncompliance over the allowable activities, allowable costs/cost principles, and reporting compliance requirements Adventist Health had several phone conversations with HRSA over allowable expenses for the ARP program. We explained we had been usi...

Finding 2022-001 - Internal control deficiency and noncompliance over the allowable activities, allowable costs/cost principles, and reporting compliance requirements Adventist Health had several phone conversations with HRSA over allowable expenses for the ARP program. We explained we had been using lost revenue method for prior period reporting. We asked specifically what we can use and not use. We were informed to take the values (in whole) to use as expenses. We were following the guidance we had received by the HRSA employees. The information was confirmed on our methodology for allowable expenses by 2 different employees. Contact Person: Manager, Tax & Audit ? David Dumitru. Expected Completion Date: October 2023

View Audit 20475 Questioned Costs: $1

Finding 20108 (2022-001)

Material Weakness 2022

Rose of Mary Terrace

WA

HUD Housing Programs Questioned Costs Cash Management

Name of Auditee: Rose of Mary Terrace HUD Auditee identification number: 171EE023 Name of audit firm: Loveridge Hunt & Co, PLLC Period covered by the audit: Year ended December 31, 2022 CAP prepared by: Name: Holly Anderson Position: Asset Management Program Manager Telephone number: 509-833-8084 Fi...

Name of Auditee: Rose of Mary Terrace HUD Auditee identification number: 171EE023 Name of audit firm: Loveridge Hunt & Co, PLLC Period covered by the audit: Year ended December 31, 2022 CAP prepared by: Name: Holly Anderson Position: Asset Management Program Manager Telephone number: 509-833-8084 Finding 2022-001 1. Statement of Condition: The Organization did not deposit the surplus cash into the residual receipts account in the amount of $27,935. 2. Cause: Management did not monitor the HUD requirements for the residual receipts accounts, including those in the regulatory agreement and those issued by HUD memorandum. 3. Actions Taken on the Finding: The Organization will complete HUD form 9250, requesting a suspension of replacement reserve deposits. Management will utilize the funds from suspended replacement reserve deposit to reimburse the residual receipts account. On August 7, 2023, Holly Anderson spoke with HUD Account Executive, Tina Rivera-Locklear, who agreed that this CAP was an acceptable step towards resolution.

View Audit 20307

Finding 20101 (2022-001)

Material Weakness 2022

South Kitsap School District No. 402

WA

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

Finding ref number: 2022-001 Finding caption: The District did not have adequate internal controls for ensuring compliance with wage rate requirements. Name, address, and telephone of District contact person: Andrea Nokell 2689 Hoover Ave SE Port Orchard, WA 98366 360-874-7015 Corrective action th...

Finding ref number: 2022-001 Finding caption: The District did not have adequate internal controls for ensuring compliance with wage rate requirements. Name, address, and telephone of District contact person: Andrea Nokell 2689 Hoover Ave SE Port Orchard, WA 98366 360-874-7015 Corrective action the auditee plans to take in response to the finding: The District will obtain weekly certified payroll reports from all contractors and subcontractors performing public works projects funded with Federal funds. Anticipated date to complete the corrective action: Immediately.

View Audit 21474

Finding 20099 (2022-002)

Significant Deficiency 2022

Independence Place Cooperative of Willmar

MN

Questioned Costs Reporting Internal Control / Segregation of Duties

Housing and Urban Development Independence Place Cooperative respectfully submits the following corrective action plan for the year ended December 31, 2022. Westberg Eischens, PLLP 2630 1st Street South P.O. Box 362 Willmar, MN 56201 Audit Period: December 31, 2022 The findings from the Decem...

Housing and Urban Development Independence Place Cooperative respectfully submits the following corrective action plan for the year ended December 31, 2022. Westberg Eischens, PLLP 2630 1st Street South P.O. Box 362 Willmar, MN 56201 Audit Period: December 31, 2022 The findings from the December 31, 2022 schedule of findings and questioned costs and the summary schedule of prior audit findings are discussed below. The findings are numbered consistently with the numbers assigned in the schedules. Summary of audit results does not include findings and is not addressed. FINDINGS-FINANCIAL STATEMENT AUDIT Finding 2022-002 Recommendation: We recommend that the Cooperative continue to review the auditor prepared adjusting journal entries and financial statements with the intention of understanding and acceptance of responsibility for reporting under generally accepted accounting principles. Action Taken: The Cooperative will continue to review the auditor prepared adjusting journal entries and financial statements with the intention of understanding and acceptance of responsibility for reporting under generally accepted accounting principles. Planned Completion Date: Not Applicable.

View Audit 20048

Finding 20098 (2022-001)

Significant Deficiency 2022

Independence Place Cooperative of Willmar

MN

Internal Control / Segregation of Duties

Housing and Urban Development Independence Place Cooperative respectfully submits the following corrective action plan for the year ended December 31, 2022. Westberg Eischens, PLLP 2630 1st Street South P.O. Box 362 Willmar, MN 56201 Audit Period: December 31, 2022 The findings from the Decem...

Housing and Urban Development Independence Place Cooperative respectfully submits the following corrective action plan for the year ended December 31, 2022. Westberg Eischens, PLLP 2630 1st Street South P.O. Box 362 Willmar, MN 56201 Audit Period: December 31, 2022 The findings from the December 31, 2022 schedule of findings and questioned costs and the summary schedule of prior audit findings are discussed below. The findings are numbered consistently with the numbers assigned in the schedules. Summary of audit results does not include findings and is not addressed. FINDINGS-FINANCIAL STATEMENT AUDIT Finding 2022-001 Recommendation: We recommend that the Cooperative continue to segregate incompatible duties as best it can within the limits of what the Cooperative considers to be cost beneficial. Action Taken: The Cooperative reviews and makes improvements to its internal controls on an ongoing basis and attempts to maximize the segregation of duties in all areas within the limits of the staff available. Planned Completion Date: Not Applicable.

View Audit 20048

Finding 20096 (2022-002)

Significant Deficiency 2022

Oregon Tech

OR

Matching / Level of Effort / Earmarking Questioned Costs

Recommendation: We recommend that the University monitor the earmarking requirements of all grants to ensure compliance requirements are being met. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action planned in response to finding: Management re...

Recommendation: We recommend that the University monitor the earmarking requirements of all grants to ensure compliance requirements are being met. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action planned in response to finding: Management respectfully agrees on all findings and recommendations. Management will include review sign-off on earmarking compliance requirements for any future HEERF grants as part of its procedures, similar to current practice with existing Federal grant compliance requirements. Management did engage in the required communication and outreach per the earmarking requirement, but had failed to charge the grant for related staff time, estimated to be less than one hour. The required communication was distributed via email to students, on or about January 20, 2022. Limited staff resources, including long-term open positions in the Office of Sponsored Projects & Grants Administration (SPGA), additional multiple concurrent open positions, and resulting increased workload during the height of the on-going COVID-19 pandemic were a major contributing factor to the finding. Name(s) of the contact person(s) responsible for corrective action: Michelle Meyer Planned completion date for corrective action plan: April 15, 2023

View Audit 19907

Finding 20095 (2022-001)

Significant Deficiency 2022

Oregon Tech

OR

Procurement, Suspension & Debarment

recommended management adopt a policy to ensure evidence of compliance to suspension and debarment regulations are maintained. This can include maintaining evidence that management reviewed the GSA website, maintaining a certification from the vendor, or including a clause in a contract with vendor...

recommended management adopt a policy to ensure evidence of compliance to suspension and debarment regulations are maintained. This can include maintaining evidence that management reviewed the GSA website, maintaining a certification from the vendor, or including a clause in a contract with vendors that they are not suspended or debarred. Management has indicated this policy was implemented this in March 2023. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Due to the timing of the 2021 CAP implementation, this was not effective during the year ended June 30, 2022 Action planned in response to finding: Management respectfully agrees on all findings and recommendations. Management will engage in additional staff training and is committed to consistent application of current policies and procedures to ensure goods and services purchased with federal dollars are procured in accordance with federal regulations. As documented in the U.S. Department of Education?s Program Determination Letter, dated March 13, 2023, Management provided additional staff training on September 21, 2022 covering topics such as Federal procurement requirements beyond the micro-purchase threshold, and had provided a schedule of the training as proof of implementation of the CAP. Management has also incorporated an additional clause in contracts with vendors attesting that the vendors are not suspended, or debarred, and also provided a copy of multiple contract templates with the specific language as proof of implementation of the CAP. Management considers its corrective action complete as of March 13, 2023, following the date of the U.S. Department of Education?s Program Determination Letter that confirmed proof of implementation resolving the finding. Name(s) of the contact person(s) responsible for corrective action: Vivian Chen Planned completion date for corrective action plan: March 13, 2023

View Audit 19907

Finding 20094 (2022-003)

Significant Deficiency 2022

Oregon Tech

OR

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

Recommendation: We recommend that the University review their reporting policies and procedures to ensure accurate and timely reporting. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action planned in response to finding: Management respectfully ag...

Recommendation: We recommend that the University review their reporting policies and procedures to ensure accurate and timely reporting. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action planned in response to finding: Management respectfully agrees on all findings and recommendations. Management will include additional review and sign-off on reporting requirements for any future HEERF grants as part of its procedures, similar to current practice with existing Federal grant reporting requirements. Continuing changes in the federal regulations, unclear federal guidance in quarterly reporting requirements, and due dates with limited reporting windows of 10-calendar days after quarter-end and before the close of regular accounting and reporting periods were major contributing factors to the finding. Additionally, limited staff resources, including long-term open positions in the Office of Sponsored Projects & Grants Administration (SPGA), additional multiple concurrent open positions, and resulting increased workload during the height of the on-going COVID-19 pandemic were also major contributing factors to the finding. Name(s) of the contact person(s) responsible for corrective action: Tracey Lehman, Michelle Meyer Planned completion date for corrective action plan: April 15, 2023

View Audit 19907

Finding 20093 (2022-001)

Material Weakness 2022

Siouxland Community Health Center

IA

Questioned Costs Allowable Costs / Cost Principles Reporting

In completing the annual financial audit for Siouxland Community Health Center (SCHC), and in particular the Provider Relief Fund dollars in the amount of $463,105 received in April and June 2020, staff at FORVIS determined SCHC had made an error in reporting its use of funds. SCHC chose Option 3, w...

In completing the annual financial audit for Siouxland Community Health Center (SCHC), and in particular the Provider Relief Fund dollars in the amount of $463,105 received in April and June 2020, staff at FORVIS determined SCHC had made an error in reporting its use of funds. SCHC chose Option 3, which included a comparison between actual lost patient revenue and budgeted patient revenue for each of the six quarters from 1/1/20 to 6/30/21, and inadvertently entered incorrect actual dollars spent compared to budgeted dollars. The total amount of lost revenue reported was originally reported as $1,542,234, but the revised amount is $1,340,781, a difference of $201,453. This error did not result in any funds be returned. Jan Anderson, CFO, corrected the report on the Provider Relief portal in July 2022.

View Audit 19443

Finding 20090 (2022-001)

Significant Deficiency 2022

Harbor Springs Public Schools

MI

Subrecipient Monitoring Cash Management Reporting

2022-01 This finding is caused by the District not having the proper controls in place to prevent, detect, or correct an incorrect monthly meal claim. Due to COVID, the District could not use their typical internal controls as it related to meal counts. In the elementary and middle schools, the coo...

2022-01 This finding is caused by the District not having the proper controls in place to prevent, detect, or correct an incorrect monthly meal claim. Due to COVID, the District could not use their typical internal controls as it related to meal counts. In the elementary and middle schools, the cooks had to hand count meals served rather than using meal counting software, which is what was used in prior years. These hand counts were hard to follow which caused issues when doing monthly reconciliations prior to making meal claim reimbursements. The District will also be returning to using meal counting software for all schools and eliminating hand count sheets all together. The persons responsible for the corrective action are Cathy Clarke Karwowicz, the Food Service Director and Rod Fullerton, the Chief Financial Officer. The anticipated completion date of the corrective action plan is before the end of the 2023 fiscal year. The plan for monitoring adherence is the Food Service Director and Chief Financial Officer will work together to ensure that monthly meals served are being reconciled prior to any meal reimbursements being claimed.

View Audit 19327

Finding 20089 (2022-003)

Significant Deficiency 2022

Farmworker Justice

DC

Cash Management Questioned Costs Reporting § 200.303

Management?s Corrective Action Plan: Prior management and staff did not have a procedure in place for this. Current management concurs with the auditor?s recommendation and below is a summary of the corrective action plan. ACTION ESTIMATED COMPLETION DATE RESP...

Management?s Corrective Action Plan: Prior management and staff did not have a procedure in place for this. Current management concurs with the auditor?s recommendation and below is a summary of the corrective action plan. ACTION ESTIMATED COMPLETION DATE RESPONSIBLE PARTY STATUS/COMMENTS 1. Create a procedure that details the steps of how and when to conduct a SAM.gov check. 2. Retroactively review all the 2023 federal expenditures to ensure there is a SAM.gov check documented. 10/31/2023 Yolanda Rodriguez N/A 11/30/2023 Yolanda Rodriguez As of 9/18/23, there has been progress with this already.

View Audit 19213

Finding 20088 (2022-002)

Significant Deficiency 2022

Farmworker Justice

DC

Procurement, Suspension & Debarment § 200.214

Management?s Corrective Action Plan: This is not a repeat finding from a prior year. However, management will implement the following action plan to ensure that future revenues are reviewed thoroughly in order to make a determination on whether the asset has donor restrictions. ACTION ...

Management?s Corrective Action Plan: This is not a repeat finding from a prior year. However, management will implement the following action plan to ensure that future revenues are reviewed thoroughly in order to make a determination on whether the asset has donor restrictions. ACTION ESTIMATED COMPLETION DATE RESPONSIBLE PARTY STATUS/COMMENTS 1. Update existing procedures to detail examples of when revenue is restricted or unrestricted. 2. Review all unrestricted revenues received in 2023 to confirm whether they should be restricted. 10/31/2023 Yolanda Rodriguez N/A 11/30/2023 Yolanda Rodriguez N/A

View Audit 19213

Finding 20087 (2022-001)

Significant Deficiency 2022

Cassia

MN

Reporting Internal Control / Segregation of Duties

Cassia and Support Corporations respectfully submits the following corrective action plan for the year ended December 31, 2022. Audit period: January 1, 2022 ? December 31, 2012 The findings from the schedule of findings and questioned costs are discussed below. The findings is numbered consistentl...

Cassia and Support Corporations respectfully submits the following corrective action plan for the year ended December 31, 2022. Audit period: January 1, 2022 ? December 31, 2012 The findings from the schedule of findings and questioned costs are discussed below. The findings is numbered consistently with the numbers assigned in the schedule. FINDINGS?FEDERAL AWARD PROGRAMS AUDITS DEPARTMENT OF Health and Human Services 2022-001 COVID-19 Provider Relief Funding ? Assistance Listing No. 93.489 Recommendation: Management of Cassia and Support Corporations should review the lost revenues included on the reporting submissions to ensure the lost revenues agree with the internal financial statements. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: Management will implement a review process of the lost revenues that are being reported in the Provider Relief Fund reporting portal to ensure the lost reviews being reported tie to the internal financial statements. Name(s) of the contact person(s) responsible for corrective action: Kathy Youngquist, CFO Planned completion date for corrective action plan: September 2023 If there are any questions regarding this plan, please call Kathy Youngquist at 952-855-5009.

View Audit 19150

Finding 20084 (2022-001)

Material Weakness 2022

Sumner-Fredericksburg Community School District

IA

We have reviewed procedures and plan to make the necessary changes to improve internal control.

View Audit 19074

Finding 20083 (2022-001)

None 2022

Windsor Place Housing, Inc.

NC

Questioned Costs HUD Housing Programs

2022-001: The underfunding of Replacement Reserves was discovered during the reconciliation process. The required deposit was made to Replacement Reserves on January 19, 2023.

View Audit 18730 Questioned Costs: $1

Finding 20082 (2022-002)

None 2022

Mm Iii, Inc. Operating As Mayfield Manor III

FL

HUD Housing Programs Eligibility Reporting

FINDING NO. 2022-002: Section 202 Supportive Housing for the Elderly, ALN 14.157 Recommendation: The Project should implement procedures to ensure the verification of tenant income through the EIV system in a timely manner and maintain all required tenant documentation. Action Taken: Management has ...

FINDING NO. 2022-002: Section 202 Supportive Housing for the Elderly, ALN 14.157 Recommendation: The Project should implement procedures to ensure the verification of tenant income through the EIV system in a timely manner and maintain all required tenant documentation. Action Taken: Management has conducted training on EIV and the importance of meeting the deadlines as well as maintaining EIV reports in tenant files. If the audit Oversight Agency has questions regarding these plans, please call Christine Harris at 954-835- 9200. Sincerely yours, Christine Harris Accounting Manager

View Audit 18705

Finding 20081 (2022-001)

None 2022

Mm Iii, Inc. Operating As Mayfield Manor III

FL

HUD Housing Programs Subrecipient Monitoring Reporting

Oversight Agency for Audit, MM III, Inc. respectfully submits the following corrective action plan for the year ended December 31, 2022. Name and address of independent public accounting firm: Bellows Associates, P.A., 5401 N University Drive, Suite 201 Coral Springs, Florida 33067 Audit period: Jan...

Oversight Agency for Audit, MM III, Inc. respectfully submits the following corrective action plan for the year ended December 31, 2022. Name and address of independent public accounting firm: Bellows Associates, P.A., 5401 N University Drive, Suite 201 Coral Springs, Florida 33067 Audit period: January 1, 2022 through December 31, 2022 The findings from the December 31, 2022 schedule of findings and questioned costs are discussed below. The findings are numbered consistently with the numbers assigned in the schedule. SECTION III - FINDINGS AND QUESTIONED COSTS ? MAJOR FEDERAL AWARD PROGRAMS AUDIT FINDING NO. 2022-001: Section 202 Supportive Housing for the Elderly, ALN 14.157 Recommendation: The Project should comply with HUD regulations for timely renewal of the PRAC contract to ensure no interruption in funding. Action Taken: Compliance Department is now monitoring and tracking PRAC contract renewals for properties. Going forward reminders and follow up to deadlines will be conducted to ensure the contract renewal is completed.

View Audit 18705

Finding 20080 (2022-001)

None 2022

Loyola Marymount University

CA

Procurement, Suspension & Debarment

Finding 2022-001 ? Suspension and Debarment Verification Federal Awarding Agency: Department of Education Award Name: COVID-19 ? Education Stabilization Fund ? Institutional Portion Award Number: ED-GRANTS-042120-004 Award Year: June 1, 2021 - May 31, 2022 Assistant Listing Title: HEERF Institutiona...

Finding 2022-001 ? Suspension and Debarment Verification Federal Awarding Agency: Department of Education Award Name: COVID-19 ? Education Stabilization Fund ? Institutional Portion Award Number: ED-GRANTS-042120-004 Award Year: June 1, 2021 - May 31, 2022 Assistant Listing Title: HEERF Institutional Portion Assistant Listing Number: 84.425F Pass-through entities: Not applicable Corrective Action Plan As this finding was discovered as part of testing for the fiscal year 2021 audit, management implemented procedural changes as of December 2021 to include suspension and debarment procedures in advance of making the determination to seek reimbursement of an expenditure with federal funding. Given this implementation was done halfway through the year, management subsequently performed the required procedures noting the vendors were not suspended or debarred at the time of the transactions or time of testing. The above action was completed in December 2021, and no exceptions were noted by PwC subsequent to that date. Contact Person: Aida Shadfan, Vice President of Finance and University Controller Aida.shadfan@lmu.edu

View Audit 18679

Finding 20079 (2022-001)

Significant Deficiency 2022

District 7 Human Resources Development Council

MT

Allowable Costs / Cost Principles § 200.447

Re: Management Response to - Section Ill - Federal Awards Findings & Questioned Costs During Fiscal Year 2022 HRDC management acknowledges that there were key changes within the organizational structure including changes to personnel within the employment & training department, as well as, various o...

Re: Management Response to - Section Ill - Federal Awards Findings & Questioned Costs During Fiscal Year 2022 HRDC management acknowledges that there were key changes within the organizational structure including changes to personnel within the employment & training department, as well as, various other operating changes. Included below is management's response to Section Ill - Federal Awards Findings & Questioned Costs for the Fiscal Audit ended June 30, 2022. 2022 - 001 INSURANCE COVERAGE - ALLOWABLE COSTS PRINCIPLES The agency carries adequate insurance coverage for all vehicles and property as required by the Code of Federal Regulations. The agency has a written vehicle inspection and maintenance procedure which includes detailed procedures for vehicle inspection, maintenance, reporting of problems, cleaning procedures, and recordkeeping. The agency followed its procedures for vehicle inspections and maintenance and minor observable damage was noted to the vehicle. Shortly after the inspection, key staffing changes occurred and the manager failed to follow up on the report nor continue to note the damage on subsequent monthly reports. Upon return of the leased vehicle to the dealership, the dealership noted hail damage. While the damage was noted in our inspection reports, the length of time to report such a claim to insurance had expired and would not be covered through an insurance claim. Under CFR Section 200.447 Insurance and Indemnification, losses which could have been covered by permissible insurance are unallowable, however costs incurred because of losses not covered under nominal insurance coverage provided in keeping with sound management practice, and minor losses not covered by insurance are allowable. The agency has interpreted this provision as a loss not covered under nominal insurance coverage provided in keeping with sound management practices which would be an allowable cost under CFR 200.447. The Auditors disagreed with our interpretation of the regulations. The agency will continue to inspect vehicles on a regular basis under procedures that have been in effect and are part of our control systems. In addition program managers and directors will be instructed to continue to include any damage on vehicle inspections reports until fixed. The agency believes this is an isolated instance but will continue to try to ensure that all outstanding items are resolved during any staff transition period. The agency also will consider the interpretation of CFR 200.447 for further clarification on what may be included as allowable costs from granting Agencies and federal regulations.

View Audit 18603

Finding 20078 (2022-002)

Significant Deficiency 2022

City of Union City School District

NJ

Questioned Costs Subrecipient Monitoring School Nutrition Programs

Corrective Action: When the District expands the food service program under any circumstances, the District will adapt internal controls to monitor costs for their allowability and level of effort in the food service program as being incurred. Method of Implementation: Formal communication betwee...

Corrective Action: When the District expands the food service program under any circumstances, the District will adapt internal controls to monitor costs for their allowability and level of effort in the food service program as being incurred. Method of Implementation: Formal communication between food service director and school business administrator during any circumstances when the District expands the food service program. Person(s) Responsible for Implementation: Sue Prusko, Food Service Director; Anthony Dragona, School Business Administrator Completion Date of Implementation: June 30, 2023

View Audit 18564

Finding 19968 (2022-003)

Significant Deficiency 2022

Winnebago County, Wisconsin

WI

Reporting Significant Deficiency

Recommendation: We recommend the County personnel continue reviewing the County's single audit report. While it may not be cost beneficial to hire additional staff to prepare these items, a thorough review of this information by appropriate staff of the County is necessary to ensure all federal and ...

Recommendation: We recommend the County personnel continue reviewing the County's single audit report. While it may not be cost beneficial to hire additional staff to prepare these items, a thorough review of this information by appropriate staff of the County is necessary to ensure all federal and state financial assistance programs are properly reported in the County's single audit report. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action planned/taken in response to finding: Winnebago County will continue to contract with CliftonLarsonAllen LLP to assist with preparation of the required financial reports due to current staffing levels. The Finance Director will continue to review the draft schedule of federal awards and state financial assistance prior to financial statements being issued. Name(s) of the contract person(s) responsible for correction action: Carol Blackmore Planned completion date for corrective action: Ongoing

View Audit 18551

Corrective Action Plans

Filters