Corrective Action Plans

Finding 1206058 (2025-010)

Material Weakness 2025

CITY OF COLSTRIP

MT

Questioned Costs Internal Control / Segregation of Duties

NONCOMPLIANCE WITH GRANT TERMS AND CONDITIONS, CORONAVIRUS STATE AND LOCAL FISCAL RECOVERY FUNDS, ASSISTANCE LISTING No. 21.027, AM-23-0256, AM-23-0255, YEAR ENDED JUNE 30, 2025 Name of contact person: Michelle Richards – City Clerk/Treasurer Corrective Action: Written grant administration policies ...

NONCOMPLIANCE WITH GRANT TERMS AND CONDITIONS, CORONAVIRUS STATE AND LOCAL FISCAL RECOVERY FUNDS, ASSISTANCE LISTING No. 21.027, AM-23-0256, AM-23-0255, YEAR ENDED JUNE 30, 2025 Name of contact person: Michelle Richards – City Clerk/Treasurer Corrective Action: Written grant administration policies and procedures will be developed. Procedures will include designation of parties responsible for submission of required documents, progress/monitoring reports, draw requests, etc. Proposed Completion Date: Fiscal year 2027

View Audit 397933

Finding 1206057 (2025-009)

Material Weakness 2025

CITY OF COLSTRIP

MT

Procurement, Suspension & Debarment § 200.214 § 200.318 § 200.327

NONCOMPLIANCE WITH PROCUREMENT AND SUSPENSION AND DEBARMENT REQUIREMENTS, CORONAVIRUS STATE AND LOCAL FISCAL RECOVERY FUNDS, ASSISTANCE LISTING No. 21.027, Name of contact person: Michelle Richards – City Clerk/Treasurer Corrective Action: The city will develop a policy to provide reasonable assuran...

NONCOMPLIANCE WITH PROCUREMENT AND SUSPENSION AND DEBARMENT REQUIREMENTS, CORONAVIRUS STATE AND LOCAL FISCAL RECOVERY FUNDS, ASSISTANCE LISTING No. 21.027, Name of contact person: Michelle Richards – City Clerk/Treasurer Corrective Action: The city will develop a policy to provide reasonable assurance that procurement of goods and services are made in compliance with applicable federal regulations and that no award, subaward, contract or agreement is made with any suspended or debarred party. Proposed Completion Date: Fiscal year 2027

View Audit 397933

Finding 1206053 (2025-001)

Material Weakness 2025

Lasalle Park Homes Ii, Inc. 073-Ee100-Np-Wah

IN

Questioned Costs Subrecipient Monitoring HUD Housing Programs

Finding 2025-001: Management fees of $6,012 were prepaid at December 31, 2025. Comments on the Finding and Each Recommendation: The Agent should reimburse $6,012 to the Community. Action(s) taken or planned on the finding: Agree. During the year ended December 31, 2026, the Agent will reimburse $6,0...

Finding 2025-001: Management fees of $6,012 were prepaid at December 31, 2025. Comments on the Finding and Each Recommendation: The Agent should reimburse $6,012 to the Community. Action(s) taken or planned on the finding: Agree. During the year ended December 31, 2026, the Agent will reimburse $6,012 to the Community.

View Audit 397927

Finding 1206051 (2025-002)

Material Weakness 2025

Redeemer Housing Association, Inc.

OH

HUD Housing Programs

Condition: The Corporation failed to refund the security deposit to a tenant within 30 days of their move out date. Planned Corrective Action: Management acknowledged the noncompliance which occurred during the year ended December 31, 2025, and has reiterated the 30-day HUD requirement to the Corpor...

Condition: The Corporation failed to refund the security deposit to a tenant within 30 days of their move out date. Planned Corrective Action: Management acknowledged the noncompliance which occurred during the year ended December 31, 2025, and has reiterated the 30-day HUD requirement to the Corporation’s managing staff and emphasized the importance of timely recording move-outs in the property management software. In addition, management implemented a weekly monitoring review performed by the Senior Accountant to ensure moveouts are processed and security deposits are issued within the required timeframe. Contact person responsible for corrective action: Bob Reichard, VP of Finance Anticipated Completion Date: July 10, 2025

View Audit 397921

Finding 1206050 (2025-002)

Material Weakness 2025

Miami Valley Lutheran Housing Association of Indiana Iv, Inc.

OH

HUD Housing Programs

Condition: The Corporation failed to refund the security deposit to a tenant within 30 days of their move out date. Planned Corrective Action: Management acknowledged the noncompliance which occurred during the year ended December 31, 2025, and has reiterated the 30-day HUD requirement to the Corpor...

Condition: The Corporation failed to refund the security deposit to a tenant within 30 days of their move out date. Planned Corrective Action: Management acknowledged the noncompliance which occurred during the year ended December 31, 2025, and has reiterated the 30-day HUD requirement to the Corporation’s managing staff and emphasized the importance of timely recording move-outs in the property management software. In addition, management implemented a weekly monitoring review performed by the Senior Accountant to ensure moveouts are processed and security deposits are issued within the required timeframe. Contact person responsible for corrective action: Bob Reichard, Vice President, Finance. Anticipated Completion Date: February 27, 2025

View Audit 397918

Finding 1206049 (2025-002)

Material Weakness 2025

Miami Valley Lutheran Housing Association Ii, Inc.

OH

HUD Housing Programs

Condition: The Corporation failed to refund the security deposit to a tenant within 30 days of their move out date. Planned Corrective Action: Management acknowledges noncompliance which occurred during the year ended December 31, 2025, and has reiterated the 30-day HUD requirement to the Corporatio...

Condition: The Corporation failed to refund the security deposit to a tenant within 30 days of their move out date. Planned Corrective Action: Management acknowledges noncompliance which occurred during the year ended December 31, 2025, and has reiterated the 30-day HUD requirement to the Corporation's managing staff and emphasized the importance of timely recording move-outs in the property management software. In addition, management implemented a weekly monitoring review performed by the Senior Accountant to ensure moveouts are processed and security deposits are issued within the required timeframe. Contact person responsible for corrective action: Bob Reichard, Vice President, Finance Anticipated Completion Date: April 10, 2025

View Audit 397915

Finding 1206048 (2025-002)

Material Weakness 2025

Miami Valley Lutheran Housing Association of Indiana Iii, Inc.

OH

HUD Housing Programs

Condition: The Corporation failed to refund the security deposit to a tenant within 30 days of their move out date. Planned Corrective Action: Management acknowledges noncompliance which occurred during the year ended December 31, 2025, and has reiterated the 30-day HUD requirement to the Corporatio...

Condition: The Corporation failed to refund the security deposit to a tenant within 30 days of their move out date. Planned Corrective Action: Management acknowledges noncompliance which occurred during the year ended December 31, 2025, and has reiterated the 30-day HUD requirement to the Corporation's managing staff and emphasized the importance of timely recording move-outs in the property management software. In addition, management implemented a weekly monitoring review performed by the Senior Accountant to ensure moveouts are processed and security deposits are issued within the required timeframe. Contact person responsible for corrective action: Bob Reichard, Vice President, Finance Anticipated Completion Date: July 3, 2025

View Audit 397903

Finding 1206047 (2025-001)

Material Weakness 2025

Eagle Lake Development Corporation

ME

Internal Control / Segregation of Duties Questioned Costs

Name of contact person: Michelle Raymond, Management Agent Corrective Action: The Organization will ensure that excess security deposit funds are transferred to the Organization’s operating account on a timely basis in the future. Proposed implementation date: The corrective action plan will be impl...

Name of contact person: Michelle Raymond, Management Agent Corrective Action: The Organization will ensure that excess security deposit funds are transferred to the Organization’s operating account on a timely basis in the future. Proposed implementation date: The corrective action plan will be implemented immediately.

View Audit 397890

Finding 1206041 (2025-001)

Material Weakness 2025

Monte Vista Community Center Housing Authority, Inc.

CO

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

Finding 2025-001: Rural Rental Housing Loans Assistance Listing Number: 10.415 U.S. Department of Agriculture (Repeat of Finding 2024-001) Compliance Requirement: Eligibility, Program Income Type of finding: Internal Control Over Compliance (significant deficiency) Recommendation: The Organization s...

Finding 2025-001: Rural Rental Housing Loans Assistance Listing Number: 10.415 U.S. Department of Agriculture (Repeat of Finding 2024-001) Compliance Requirement: Eligibility, Program Income Type of finding: Internal Control Over Compliance (significant deficiency) Recommendation: The Organization should strengthen its internal controls with adopted policies and procedures to ensure a review process is established through adequate segregation of duties. The Organization should consider assessing and realigning the duties and responsibilities of the Executive Director, Administrative Assistant, and Alamosa Property Manager to provide for a review process of tenant eligibility determinations and the monthly housing assistance payment requests for the Sierra Vista Alamosa Housing Complex. Action Taken: This finding was from the actions of the pervious on-site manager, concerning the Alamosa Complex only. Sierra Vista/Alamosa Complex has already implemented the internal control concerning compliance in house. Priscilla and Alonzo will make sure that all internal compliance issues are segregated and check by at least 2 persons in the office, and if needed, the Executive Director can request viewing of internal control procedures as well. Alonzo and Priscilla prepare and review along with signatures of the review and approval dates of internal affairs. "This institution is an equal opportunity provider." If there are questions regarding this plan, please call the responsible party at (719)852-5505. Sincerely yours, Corinna Garcia Executive Director Monte Vista Community Center Housing Authority, Inc.

View Audit 397889

Finding 1206038 (2025-001)

Material Weakness 2025

Heartland Christian Tower, Inc.

OH

Questioned Costs

The Corporation concurs with the finding. The Corporation obtained the Unique Entity Identifier (UEI) in order to complete and submit the 2022, 2023, and 2024 data collection forms to the Federal Audit Clearinghouse. The completion date for this corrective action was June 16, 2025. Contact: Sean Ale...

The Corporation concurs with the finding. The Corporation obtained the Unique Entity Identifier (UEI) in order to complete and submit the 2022, 2023, and 2024 data collection forms to the Federal Audit Clearinghouse. The completion date for this corrective action was June 16, 2025. Contact: Sean Alexander, Senior Vice President and Chief Financial Officer, National Church Residences.

View Audit 397885

Finding 1206036 (2025-002)

Material Weakness 2025

Tyler Family Circle of Care

TX

Matching / Level of Effort / Earmarking § 200.334

Health Center Program – Assistance Listing No. 93.224 Recommendation: We recommend the organization enhances its current process related to the preparation of the UDS report and reinforce the requirement to maintain documentation to support the amounts reported within the various tables within the U...

Health Center Program – Assistance Listing No. 93.224 Recommendation: We recommend the organization enhances its current process related to the preparation of the UDS report and reinforce the requirement to maintain documentation to support the amounts reported within the various tables within the UDS report. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: We will continue to maintain supporting documentation for our UDS submissions, to include any emails between the reviewer and FCC staff members in regards to questioned amounts and recommended reclassifications. Dental records, which are produced from a separate EMR system and require manual compilation, will be included with our UDS supporting records. Name(s) of the contact person(s) responsible for corrective action: Jennifer A. Breedlove Planned completion date for corrective action plan: March 31, 2026

View Audit 397880

Finding 1206035 (2025-001)

Material Weakness 2025

Tyler Family Circle of Care

TX

Internal Control / Segregation of Duties

Health Center Program – Assistance Listing No. 93.224 Recommendation: Management should consider increasing the frequency of its self-reviews of patient encounters or expanding its sample sizes in addition to providing additional training for front desk staff regarding the collection and verificatio...

Health Center Program – Assistance Listing No. 93.224 Recommendation: Management should consider increasing the frequency of its self-reviews of patient encounters or expanding its sample sizes in addition to providing additional training for front desk staff regarding the collection and verification of patient information for each patient. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: This appears to be a user error where a front desk staff member did not adequately review and input the patient’s information into our EPIC EMR system. We will continue to provide training to our front desk staff to ensure that applications are reviewed in detail and accurate patient information is entered into our systems. We will emphasize that all clinic managers must review SFS applications on a daily basis to verify that the correct slides are entered for each patient. Name(s) of the contact person(s) responsible for corrective action: Jennifer A. Breedlove Planned completion date for corrective action plan: March 31, 2026

View Audit 397880

Finding 1206034 (2025-001)

Material Weakness 2025

Silver Lake Housing, Inc.

TX

Questioned Costs Cash Management HUD Housing Programs

Condition: The tenant security deposit cash account was insufficient to cover the tenant security deposit liability. - Response: The reserve for replacement has ample funds to request reimbursements of qualified expenditures and Management plans to make a sizable request for funds in April 2026. If ...

Condition: The tenant security deposit cash account was insufficient to cover the tenant security deposit liability. - Response: The reserve for replacement has ample funds to request reimbursements of qualified expenditures and Management plans to make a sizable request for funds in April 2026. If approved, management can fund the deficiency in the security deposits. Management is also going to request a Budget Based Rent increase in May 2026 for the property due to the extraordinary escalation of operating costs of the last three years. Management believes that with these steps it will be able to return to its previous cash flow position.

View Audit 397875

Finding 1206033 (2025-004)

Material Weakness 2025

Barren County Economic Authority

KY

Reporting Subrecipient Monitoring § 200.303

2025-004 LACK OF INTERNAL CONTROL OVER REPORTING U.S. Department of Housing and Urban Development ALN 14.251 – Economic Development Initiative, Community Project Funding, and Miscellaneous Grants Contract No. B-22-CP-KY-0347 (2022) and B-23-CP-KY-0612 (2023) Criteria and Condition: During our audit ...

2025-004 LACK OF INTERNAL CONTROL OVER REPORTING U.S. Department of Housing and Urban Development ALN 14.251 – Economic Development Initiative, Community Project Funding, and Miscellaneous Grants Contract No. B-22-CP-KY-0347 (2022) and B-23-CP-KY-0612 (2023) Criteria and Condition: During our audit procedures, we noted there was no process in place to ensure periodic reporting was submitted timely and accurately. Cause: Certain internal controls were not in place to prevent or detect lack of periodic reporting, or inaccurate reporting. Effect: Federal funds could be withheld if periodic reports are not submitted, or are inaccurate. Questioned Costs: None Recommendation: We recommend management obtain a greater understanding of the Compliance Supplement requirements over HUD grants, and implement a review process whereby there is a review control over the submission of period reports. Action Taken: The Authority will gain a greater understanding of HUD grants, and will implement a review process over required periodic reporting. Individual(s) responsible for implementing: Maureen Carpenter, CEO Anticipated Completion Date: September 30, 2026

View Audit 397853

Finding 1206031 (2025-003)

Material Weakness 2025

Barren County Economic Authority

KY

Questioned Costs Procurement, Suspension & Debarment Subrecipient Monitoring § 200.303 § 200.327

2025-003 PREVAILING WAGE U.S. Department of Housing and Urban Development ALN 14.251 – Economic Development Initiative, Community Project Funding, and Miscellaneous Grants Contract No. B-22-CP-KY-0347 (2022) and B-23-CP-KY-0612 (2023) Criteria and Condition: During our audit procedures, we noted the...

2025-003 PREVAILING WAGE U.S. Department of Housing and Urban Development ALN 14.251 – Economic Development Initiative, Community Project Funding, and Miscellaneous Grants Contract No. B-22-CP-KY-0347 (2022) and B-23-CP-KY-0612 (2023) Criteria and Condition: During our audit procedures, we noted the Authority did not notify contractors that Federal funds would be in payments. As such, contractors did not include federal prevailing wage language in their bids/contracts, and did not provide weekly certified payroll reports to the Authority. Cause: Management was unaware of the requirements of prevailing wage for federal construction grants, and as such, did not communicate to contractors that federal funds would be utilized. Effect: The Authority was not in compliance with the grant requirements in the OMB Compliance Supplement over prevailing wage requirements for laborers and mechanics. Questioned Costs: Unable to determine. Recommendation: We recommend management obtain a greater understanding of the Compliance Supplement requirements over HUD grants, and implement a review process whereby contracts and invoices are not approved without appropriate prevailing wage consideration and certified payrolls. Action Taken: The Authority will gain a greater understanding of HUD grants, and will implement a review process to ensure prevailing wage requirements are considered prior to approving contracts and invoices. Individual(s) responsible for implementing: Maureen Carpenter, CEO Anticipated Completion Date: September 30, 2026

View Audit 397853

Finding 1206029 (2025-002)

Material Weakness 2025

Barren County Economic Authority

KY

Procurement, Suspension & Debarment Subrecipient Monitoring § 200.303

2025-002 SUSPENSION AND DEBARMENT U.S. Department of Housing and Urban Development ALN 14.251 – Economic Development Initiative, Community Project Funding, and Miscellaneous Grants Contract No. B-22-CP-KY-0347 (2022) and B-23-CP-KY-0612 (2023) Criteria and Condition: During our audit procedures, we ...

2025-002 SUSPENSION AND DEBARMENT U.S. Department of Housing and Urban Development ALN 14.251 – Economic Development Initiative, Community Project Funding, and Miscellaneous Grants Contract No. B-22-CP-KY-0347 (2022) and B-23-CP-KY-0612 (2023) Criteria and Condition: During our audit procedures, we noted there was no process in place to ensure vendors were not on a suspension or debarment list, and were eligible to be reimbursed with federal grant funds. Cause: Certain internal controls were not in place to prevent or detect and correct payments made to suspended or debarred vendors. Effect: Federal funds could be used to reimburse payments made to vendors that are suspended or debarred. Questioned Costs: None. Recommendation: We recommend management obtain a greater understanding of the Compliance Supplement requirements over HUD grants, and implement a review process whereby vendors are periodically checked for suspension and debarment. Action Taken: The Authority will implement procedures to include verifying new and existing vendors are not on suspension and debarment listings. Individual(s) responsible for implementing: Maureen Carpenter, CEO Anticipated Completion Date: June 30, 2026

View Audit 397853

Finding 1206027 (2025-001)

Material Weakness 2025

Mennowood Communities, INC

VA

Management has implemented checklists to ensure that the data collection form is submitted timely in the future.

View Audit 397847

Finding 1206026 (2025-002)

Material Weakness 2025

Wisconsin School of Professional Psychology, Inc.

WI

Reporting

Recommendation: It is not cost effective for the auditee to employ additional personnel solely for financial reporting purposes. Therefore, the School should continue to utilize the expertise of their auditors to assist with the preparation of the Schedule of Expenditures of Federal Awards. Action T...

Recommendation: It is not cost effective for the auditee to employ additional personnel solely for financial reporting purposes. Therefore, the School should continue to utilize the expertise of their auditors to assist with the preparation of the Schedule of Expenditures of Federal Awards. Action Taken: We will continue to use our auditors assist with the preparation of the Schedule of Expenditures of Federal Awards..

View Audit 397839

Finding 1206025 (2025-001)

Material Weakness 2025

Wisconsin School of Professional Psychology, Inc.

WI

Reporting

Recommendation: It is not cost effective for the auditee to employ additional personnel solely for financial reporting purposes. Therefore, the School should continue to utilize the financial expertise of their contracted bookkeeping service performed by CPAs. Action Taken: We will continue to use a...

Recommendation: It is not cost effective for the auditee to employ additional personnel solely for financial reporting purposes. Therefore, the School should continue to utilize the financial expertise of their contracted bookkeeping service performed by CPAs. Action Taken: We will continue to use a CPA bookkeeping service.

View Audit 397839

Finding 1206024 (2025-001)

Material Weakness 2025

The Russell House, INC

VA

Management has implemented checklists to ensure that the REAC is submitted timely in the future

View Audit 397837

Finding 1205937 (2025-001)

Material Weakness 2025

Menomonie Housing Authority

WI

Internal Control / Segregation of Duties

Corrective Action Planned: Due to the Authority's size, it is cost-prohibitive and impractical to achieve the ideal level of segregation of duties. The Authority has implemented as many controls and segregation of duties as practically possible for an organization of this size. Completion Date: Ongo...

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

View Audit 397813

Finding 1205934 (2025-001)

Material Weakness 2025

Christian Housing Cottonwood, Inc.

AZ

Internal Control / Segregation of Duties Eligibility HUD Housing Programs § 200.303

We recommend Christian Care management strengthen internal controls and oversight over the rental assistance calculations and tenant eligibility documentation to ensure accuracy of all assistance payments.

View Audit 397794

Finding 1205933 (2025-004)

Material Weakness 2025

East Central Regional Water District

ND

Procurement, Suspension & Debarment Internal Control / Segregation of Duties § 200.318 § 200.327

Procurement, Suspension, and Debarment Significant Deficiency in Internal Control over Compliance Finding Summary: The District does not have a written procurement policy in place that satifies all provisions of Title 2 CFR Part 200.318 through 200.327. Responsible Individuals: Neil Breidenbach, Sys...

Procurement, Suspension, and Debarment Significant Deficiency in Internal Control over Compliance Finding Summary: The District does not have a written procurement policy in place that satifies all provisions of Title 2 CFR Part 200.318 through 200.327. Responsible Individuals: Neil Breidenbach, System Manager Corrective Action Plan: The District will review the requirements of CFR sections 200.318 through 200.327 and update their procurement policy that meets the requirements. Anticipated Completion Date: December 31, 2026

View Audit 397768

Finding 1205932 (2025-005)

Material Weakness 2025

City of Satellite Beach

FL

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

2025-005 Lack of Reporting Review Recommendation: The City should have controls in place to ensure all reports are reviewed prior to submittal. Management Response: Management agrees that reports should be reviewed prior to submission and notes that the City does have controls in place to ensure app...

2025-005 Lack of Reporting Review Recommendation: The City should have controls in place to ensure all reports are reviewed prior to submittal. Management Response: Management agrees that reports should be reviewed prior to submission and notes that the City does have controls in place to ensure appropriate review procedures are performed. In this instance, the report was prepared and submitted by the City Manager, and due to limitations within the Federal Government’s online reporting system, there was not a built-in approval workflow available to document the review process. To strengthen our controls, the City will print and retain a copy of the report prior to electronic submission to allow for documented review and approval. This will ensure appropriate oversight is evidenced and that sufficient supporting documentation is maintained to demonstrate the review process was completed. Responsible Parties: Brittany Retherford, City Manager, Mindy Brown, Comptroller, and Bethany Messersmith, Assistant Comptroller Anticipated Completion Date: September 30, 2026

View Audit 397766

Finding 1205931 (2025-004)

Material Weakness 2025

City of Satellite Beach

FL

Procurement, Suspension & Debarment § 200.303

2025-004 Suspension and Debarment Recommendation: The City should require all vendors to provide certification of their status before a contract or purchase order is completed with the vendor and the City should obtain new certificates annually to ensure the vendor status has not changed. Management...

2025-004 Suspension and Debarment Recommendation: The City should require all vendors to provide certification of their status before a contract or purchase order is completed with the vendor and the City should obtain new certificates annually to ensure the vendor status has not changed. Management Response: Management agrees with the recommendation. The City has implemented procedures requiring all departments to obtain vendor certification of status prior to executing a contract or issuing a purchase order. Over the past year, we have worked diligently to educate departments on the importance of obtaining and maintaining proper vendor certifications to ensure compliance with applicable requirements. We will continue to reinforce this expectation and monitor compliance, including obtaining updated certifications annually to ensure vendor status has not changed. Responsible Parties: Brittany Retherford, City Manager, Mindy Brown, Comptroller, and Bethany Messersmith, Assistant Comptroller Anticipated Completion Date: September 30, 2026

View Audit 397766

Corrective Action Plans

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