Corrective Action Plans

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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
Finding 13105 (2022-005)
Significant Deficiency 2022
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.
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 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
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.
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
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
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
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
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
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
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
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
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
2022-015 Finding: Activities Allowed or Unallowed, Allowable Costs - ALN 93.778 ? Medicaid Cluster / ALN 93.659 ? Adoption Assistance Program / ALN 93.563 ? Child Support Enforcement / ALN 93.090 ? Guardianship Assistance (Non-Major) / ALN 93.658 ? Foster Care Title IV-E / ALN 10.551/10.561 ? Supple...
2022-015 Finding: Activities Allowed or Unallowed, Allowable Costs - ALN 93.778 ? Medicaid Cluster / ALN 93.659 ? Adoption Assistance Program / ALN 93.563 ? Child Support Enforcement / ALN 93.090 ? Guardianship Assistance (Non-Major) / ALN 93.658 ? Foster Care Title IV-E / ALN 10.551/10.561 ? Supplemental Nutrition Assistance Program (SNAP Cluster) / Department of Health and Human Services and Department of Agriculture / Award Number: N/A / Award Year: 2022 Status: Corrective action in progress Corrective Action: The City agrees with the finding. After a lot of back and forth and research we have determined that the City?s Central Services Cost Allocation Plan should be submitted to the FAA. This was submitted to the Airport for submission to the FAA on June 16, 2023. We have been unable to obtain acknowledgement of receipt. The FY22 City?s Central Services Cost Allocation Plan was submitted to the FAA on September 1, 2023. Person(s) Responsible for Implementing: Jessica Chandler, Rachel Bardin - Department of Finance Implementation Date: September 2023
2022-010 Finding: Activities Allowed and Unallowed, Allowable Costs - / ALN 93.778 ? Medicaid Cluster, ALN 93.659 ? Adoption Assistance Program, ALN 93.563 ? Child Support Enforcement, ALN 93.558 ? Temporary Assistance for Needy Families, ALN 93.658 ? Foster Care Title IV-E, ALN 93.667 ? Social Serv...
2022-010 Finding: Activities Allowed and Unallowed, Allowable Costs - / ALN 93.778 ? Medicaid Cluster, ALN 93.659 ? Adoption Assistance Program, ALN 93.563 ? Child Support Enforcement, ALN 93.558 ? Temporary Assistance for Needy Families, ALN 93.658 ? Foster Care Title IV-E, ALN 93.667 ? Social Services Block Grant, ALN 10.551/10.561 ? Supplemental Nutrition Assistance Program (SNAP) Cluster / Department of Health and Human Services and Department of Agriculture / Award Number: N/A / Award Year: 2022 Status: Corrective action in progress Corrective Action: The City agrees with the finding. The City and County of Denver is in the process of switching from Kronos to Workday to track employee time and attendance. As part of this change, DHS will provide updated guidance to department employees who split their time between programs and those employees? supervisors, including reminding them of the requirement that timecards be approved by supervisors each pay period. DHS will conduct internal audits to verify compliance with this requirement. Person(s) Responsible for Implementing: DHS ? Robert Baker Implementation Date: October 31, 2023
2022-008 Finding: Procurement, Suspension and Debarment ? ALN 14.231 ? Emergency Solutions Grant Program / Department of Housing and Urban Development / Award Number: E-21-MC-08-005, E-20-MC-08-0005/E-20-MW-08-0005 / Award Years: 2020, 2021 Status: Corrective action in progress Corrective Action: Th...
2022-008 Finding: Procurement, Suspension and Debarment ? ALN 14.231 ? Emergency Solutions Grant Program / Department of Housing and Urban Development / Award Number: E-21-MC-08-005, E-20-MC-08-0005/E-20-MW-08-0005 / Award Years: 2020, 2021 Status: Corrective action in progress Corrective Action: The City agrees with the finding. However, based on when the finding was identified, there was insufficient time to address the finding prior to December 31, 2022.To remediate prior finding 2021-011, HOST updated the agency?s Contract & Performance Management Policies under Section VII. Procedure Process Map, Step 1 to include the requirement to verify Suspension and Debarment for all subgrantees utilizing federal funding. This policy was modified and completed in July 2023, and a copy of this was provided to BDO on August 16, 2023, in response to the finding. Per the assessment this issue is a carryover into 2022 sub-awards based on the contract timeframes. Person(s) Responsible for Implementing: HOST ? Jon Luper Implementation Date: July 2023
2022-009 Finding: Matching - ALN 14.231 ? Emergency Solutions Grant Program / Department of Housing and Urban Development / Award Number: E-20-MC-08-0005 / Award Year: 2020 Status: Corrective action complete Corrective Action: The City disagrees with the finding. To remediate prior finding 2021-009,...
2022-009 Finding: Matching - ALN 14.231 ? Emergency Solutions Grant Program / Department of Housing and Urban Development / Award Number: E-20-MC-08-0005 / Award Year: 2020 Status: Corrective action complete Corrective Action: The City disagrees with the finding. To remediate prior finding 2021-009, HOST and HUD Technical Assistance provider, HomeBase, created an ESG Match Guide and Reporting template and training for sub-grantees utilizing ESG funds that incorporate regulations contained within 24 CFR 576.201. HomeBase and HOST conducted a match training on July 22, 2022 with subrecipients that received funding under E-20-MC-08-0005. Documentation of the July 2022 training and copies of the ESG Match Guide were provided to BDO on August 25, 2023 as requested. The ESG Match Guide outlines the ESG Match Documentation and Timing Requirements for Cash and In-Kind Match (this includes non-cash, i.e., Property, Goods, and Equipment). HOST is executing Commitment Letters and/or Memorandums of Understanding (MOU) as required prior to executing grant contracts with subrecipients. Commitment Letters for cash match must contain: ** Amount of cash to be provided to the recipient for the project ** Specific date the cash will be made available ** The actual grant and fiscal year to which the cash match will be contributed ** Time period during which funding will be available ** Allowable activities to be funded by the cash match MOU?s for in-kind match must contain: 1. Value of donated goods to be provided to the recipient for the project 2. Specific date the goods will be made available 3. The actual grant and fiscal year to which the match will be contributed 4. Time period during which the donation will be available 5. Allowable activities to be provided by the donation 6. Value of commitments of land, buildings, and equipment ? the value of these items is one-time only and cannot be claimed by more than one project or by the same project in another year The ESG Match Report includes pertinent project information (i.e., project, HOST contract number, grant amount, the project term date, match required for the grant, match being reported and reported to date (prior cumulative). The cash match documentation required with each report submission is: ** Documentation of cash source ** Expenditure documentation that demonstrates: ** Timing of expenditure ** Shows that expenses were incurred for eligible activities This may include general ledger and other similar documentation. The in-kind match documentation required with each report submission is: ** Documentation of contribution (including time and description) ** Documentation of the valuation of the contribution ** Documentation that contribution supported eligible activities ** Documentation of service hours provided (this should be a detailed record that shows dates, hours, activities, etc.) This may include copies of employee timesheets/paychecks and other similar documentation. The report must be certified via signature with the authorized signatory. The documentation and certification requirements contained in HOST?s ESG Match Guide and ESG Match Report meet all requirements necessary including those outlined in CPD Monitoring Exhibits 28-7 (Guide for Review of ESG Match Requirements), and as applicable 28-8 (Guide for Review of ESG Financial Management and Cost Allowability), 34-1 (Guide for Review of Financial Management and Audits), and 34-2 (Guide for Review of Cost Allowability). Likewise, match requirements are reflected in HOST contractual agreements as standard language. The agreement language outlines match report submissions, and documentation and records maintenance requirements. Program Officers in HOST?s Division of Housing Stability and Homelessness Resolution (HSHR) now ensures that contractor?s submit match reports with supporting documentation and certifications as outlined in the executed agreements and per the policy guide. Person(s) Responsible for Implementing: HOST - Housing Stability and Homelessness Resolution Division Directors Implementation Date: Complete
2022-006 Finding: Special Tests and Provisions ? Obligation, Expenditure and Payment Requirements - ALN 14.231 ? Emergency Solutions Grant Program / Department of Housing and Urban Development / Award Number: E-21-MC-08-0005, E-20-MC-08-0005/E-20-MW-08-0005 / Award Years: 2020, 2021 Status: Correcti...
2022-006 Finding: Special Tests and Provisions ? Obligation, Expenditure and Payment Requirements - ALN 14.231 ? Emergency Solutions Grant Program / Department of Housing and Urban Development / Award Number: E-21-MC-08-0005, E-20-MC-08-0005/E-20-MW-08-0005 / Award Years: 2020, 2021 Status: Corrective action in progress Corrective Action: The City agrees with the finding. HOST makes every effort to comply with not only federal requirements but also City Charter requirements for timely payment. Occasionally there are exceptional circumstances where there is a need to update the City financial system Workday, for budget modifications or the like that could result in a delay of payment. In an effort to determine these items ahead of time we?ve updated our internal policies to require finance budget review prior to contract execution. Likewise, HOST is engaged in an application upgrade with Salesforce which is in the final User Acceptance Testing (UAT) phase to incorporate changes that now include status tracking for vendor invoice submissions and reimbursement payments. This will support a more comprehensive and accurate accounting of any legitimate postponed payments due to waiting on more required information from vendors, budget modifications, contract amendments, etc. Person(s) Responsible for Implementing: HOST Operations Division Directors Implementation Date: Q1-2024
2022-005 Finding: Special Tests and Provisions ? Obligation, Expenditure and Payment Requirements - ALN 14.231 ? Emergency Solutions Grant Program / Department of Housing and Urban Development / Award Number: E-21-MC-08-0005 / Award Year: 2021 Status: Corrective action in progress Corrective Action:...
2022-005 Finding: Special Tests and Provisions ? Obligation, Expenditure and Payment Requirements - ALN 14.231 ? Emergency Solutions Grant Program / Department of Housing and Urban Development / Award Number: E-21-MC-08-0005 / Award Year: 2021 Status: Corrective action in progress Corrective Action: The City agrees with the finding. However, based on when the finding was identified, there was insufficient time to address the finding prior to December 31, 2022. To remediate prior finding 2021-010, HOST updated the agency?s Grant Administrator Policies & Procedures, and our Contract & Performance Management Policies that now include language to ensure obligation of funding within the required deadlines. These policies were modified complete in June 2022 and July 2023. HOST?s current Notice of Funding Availability (NOFA) cycle for ESG funding will apply to subrecipient programs awarded beginning 01/01/2024, with anticipated contract executions in Q4 2023. Copies of both policies were provided to BDO on August 16, 2023, in response to the finding. This matter has been remediated, 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
Assistance Listing #: All Federal Award: All Recipient Organization: All Finding 2022-004 ? Late Filing of Uniform Guidance Report Management acknowledges the delay in submission. Kim Moody, Senior Director of Finance will put in place by 12/31/2023 a workgroup of all pertinent staff to ensure the...
Assistance Listing #: All Federal Award: All Recipient Organization: All Finding 2022-004 ? Late Filing of Uniform Guidance Report Management acknowledges the delay in submission. Kim Moody, Senior Director of Finance will put in place by 12/31/2023 a workgroup of all pertinent staff to ensure the process to produce documentation and policies are efficiently followed to ensure future timely filing will occur.
U.S. Department of Health and Human Services Pass Through ? Anne Arundel County Mental Health Agency Assistance Listing #93.958 ? Block Grants for Community Mental Health Services (On-Track Maryland) Federal Award: MH 261 OTH Recipient Organization: Family Services, Inc. Finding 2022-001 ? Internal ...
U.S. Department of Health and Human Services Pass Through ? Anne Arundel County Mental Health Agency Assistance Listing #93.958 ? Block Grants for Community Mental Health Services (On-Track Maryland) Federal Award: MH 261 OTH Recipient Organization: Family Services, Inc. Finding 2022-001 ? Internal Controls over Payroll ? Payroll Discrepancies Management is committed to implementing modern systems and processes replacing manual process and outdated technology. With the addition of the Oracle ERP in FY22, our auditors remarked at the automation and inherent improvement in internal control. With the addition of UKG HRIS system on 8/1/23, we are seeing a simplified payroll process with greater internal controls. Additionally, organizational and payroll leadership with support from our operational excellence team is working to simplify the pay structure so that there are not one-off arrangements for supplemental pay that increase complexity unnecessarily. That work is underway and expected completion date for phase one is 12/31/23. The project has the support of the highest levels of leadership within the organization with the CEO, Dr. Harsh Trivedi, as the project sponsor.
U.S. Department of Labor ? Direct Award Assistance Listing #64.033 ? Supportive Services for Veteran Families Federal Award: 12-MD-042/12-MD-042SS Recipient Organization: Mosaic Community Services, Inc. Finding 2022-003 ? Internal Controls over Cash Disbursements Management acknowledges that the AP...
U.S. Department of Labor ? Direct Award Assistance Listing #64.033 ? Supportive Services for Veteran Families Federal Award: 12-MD-042/12-MD-042SS Recipient Organization: Mosaic Community Services, Inc. Finding 2022-003 ? Internal Controls over Cash Disbursements Management acknowledges that the AP department struggled with managing receipt collection from program staff after purchases were made. Program staff lack of support for purchases was the source of 5 of the 6 findings. Nathan Turner, AP Manager, retired the Mosaic credit card program and centralized the organization on one credit card platform Truist which requires an electronic receipt copy to be held in the system as support and documentation. The system requires a formal electronic approval from managers. This was implemented fully by 3/1/2023.
View Audit 17187 Questioned Costs: $1
U.S. Department of Labor ? Direct Award Assistance Listing #64.033 ? Supportive Services for Veteran Families Federal Award: 12-MD-042/12-MD-042SS Recipient Organization: Mosaic Community Services, Inc. Finding 2022-002 ? Internal Controls over Payroll Approval ? Employee Timesheets Finance and Pay...
U.S. Department of Labor ? Direct Award Assistance Listing #64.033 ? Supportive Services for Veteran Families Federal Award: 12-MD-042/12-MD-042SS Recipient Organization: Mosaic Community Services, Inc. Finding 2022-002 ? Internal Controls over Payroll Approval ? Employee Timesheets Finance and Payroll management acknowledge that the unique Community Services payroll policies no longer reflect the current process related to payroll approvals. The Payroll Director, Maria DaSilva, has retired the Mosaic payroll process effective 7/1/22 and the organization will rely on the Sheppard Pratt Payroll policy which is reflective of the current process for Fiscal Year 2023.
SIGNIFICANT DEFICIENCY 2022-001 SEGREGATION OF DUTIES. NAME OF CONTACT PERSON: JEFF LOWE, GENERAL MANAGER. CORRECTIVE ACTION: THE DUTIES WILL BE SEGREGATED AS MUCH AS POSSIBLE AND THE BOARD OF DIRECTORS WILL REMAIN INVOLVED IN THE FINANCIAL AFFAIRS OF THE COMPANY TO PROVIDE OVERSIGHT AND INDEPENDENT...
SIGNIFICANT DEFICIENCY 2022-001 SEGREGATION OF DUTIES. NAME OF CONTACT PERSON: JEFF LOWE, GENERAL MANAGER. CORRECTIVE ACTION: THE DUTIES WILL BE SEGREGATED AS MUCH AS POSSIBLE AND THE BOARD OF DIRECTORS WILL REMAIN INVOLVED IN THE FINANCIAL AFFAIRS OF THE COMPANY TO PROVIDE OVERSIGHT AND INDEPENDENT REVIEW FUNCTIONS. PROPOSEZD COMPLETION DATE: MANAGEMENT WILL IMPLEMENT THE ABOVE ACTION IMMEDIATELY.
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