Corrective Action Plans

Finding 1169201 (2025-001)

Material Weakness 2025

IN

Procurement, Suspension & Debarment Subrecipient Monitoring § 200.1 § 200.303 § 200.317 § 200.318 § 200.319

FINDING 2025-001 Finding Subject: Child Nutrition Cluster - Procurement and Suspension and Debarment Summary of Finding: Procurement: For two vendors, the School Corporation did not obtain price or rate quotes as required. The School Corporation did not maintain documentation to support the rational...

FINDING 2025-001 Finding Subject: Child Nutrition Cluster - Procurement and Suspension and Debarment Summary of Finding: Procurement: For two vendors, the School Corporation did not obtain price or rate quotes as required. The School Corporation did not maintain documentation to support the rationale and justification to limit competition, and there was no documentation of the history of the Procurement which would include the rationale for the method of procurement, the selection of the vendor, and the basis for price. Suspension and Debarment: Two vendors were identified for which the School Corporation was required to verify the suspension and debarment status, however no such verification could be provided for audit. Contact Person Responsible for Corrective Action: Food Service Director, Joshua Deck Contact Phone Number and Email Address: (812) 649-2591 / josh.deck@sspencer.k12.in.us Views of Responsible Officials: We concur with the finding. Description of Corrective Action Plan: Procurement: The Food Service Director will maintain a binder/Google Drive folder with documentation of price and/or rate quotes and documentation of the attempts made from at least three vendors that fall within the small purchase threshold. If price and/or rate quotes cannot be obtained from at least three vendors, documentation of the reasoning will be maintained. Suspension and Debarment: The Food Service Director will ensure that all vendors are not suspended or debarred by either ensuring the suspension and debarment verbiage is included in the contracts, providing a clause to the vendor to sign that they are not suspended or debarred, or checking the SAM.gov website. Documentation of these records will be maintained for audit. Anticipated Completion Date: Effective FY 2025/2026

View Audit 382071

Finding 1169177 (2025-001)

Material Weakness 2025

City of Chattanooga, Tennessee

TN

Significant Deficiency Matching / Level of Effort / Earmarking Internal Control / Segregation of Duties

The City will implement procedures to ensure that all current year expenditures related to federal awards are accurately recorded on the SEFA and properly reconciled to the General Ledger.

View Audit 382059

Finding 1169171 (2025-001)

Material Weakness 2025

Realife Cooperative of Hibbing South

MN

Reporting Internal Control / Segregation of Duties

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 Cooperativ...

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 382041

Finding 1169170 (2025-003)

Material Weakness 2025

Elverado Community Unit School District

CO

Internal Control / Segregation of Duties Procurement, Suspension & Debarment Allowable Costs / Cost Principles

Finding Synopsis - Three vendor disbursements made under the Child Nutrition Cluster did not have the required purchase orders as required by the District's established internal control policies. Action Steps - The District will communicate with staff the importance of preparing purchase orders prio...

Finding Synopsis - Three vendor disbursements made under the Child Nutrition Cluster did not have the required purchase orders as required by the District's established internal control policies. Action Steps - The District will communicate with staff the importance of preparing purchase orders prior to making a purchase. We will establish a procedure in which the purchaser must review required documentation, inclusive of purchase orders, prior to making a purchase. Contact Person - Kevin Spain, Superintendent Anticipated Completion Date - December 31, 2025

View Audit 382037

Finding 1169162 (2025-002)

Material Weakness 2025

Piazza Apartments

FL

HUD Housing Programs Eligibility Reporting

FINDING No. 2025-002: Section 202 Supportive Housing for the Elderly, ALN 14.157 Recommendation: The Project should implement procedures to ensure that all required tenant eligibility steps are performed in accordance with HUD regulations, utilize the EIV system for income verification, inspect unit...

FINDING No. 2025-002: Section 202 Supportive Housing for the Elderly, ALN 14.157 Recommendation: The Project should implement procedures to ensure that all required tenant eligibility steps are performed in accordance with HUD regulations, utilize the EIV system for income verification, inspect units timely, and maintain all supporting documentation in the tenant files. Action Taken: Staff training has been provided with additional HUD training inclusive of EIV reporting and tenant file maintenance and included in monthly reporting procedures. If the Oversight Agency for Audit has questions regarding this plan, please call Irene Phillips at 954-835-9200. Sincerely yours, Irene Phillips CFO

View Audit 382036

Finding 1169161 (2025-001)

Material Weakness 2025

Piazza Apartments

FL

Reporting HUD Housing Programs

Oversight Agency for Audit, Piazza Apartments respectfully submits the following corrective action plan for the year ended September 30, 2025. Name and address of independent public accounting firm: Bellows Associates, P.A., 5401 N University Drive, Suite 201, Coral Springs, Florida 33067 Audit peri...

Oversight Agency for Audit, Piazza Apartments respectfully submits the following corrective action plan for the year ended September 30, 2025. Name and address of independent public accounting firm: Bellows Associates, P.A., 5401 N University Drive, Suite 201, Coral Springs, Florida 33067 Audit period: October 1, 2024, through September 30, 2025 The findings from the September 30, 2025 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. 2025-001: Section 202 Supportive Housing for the Elderly, ALN 14.157 Recommendation: The Project should comply with state law and HUD regulations for refunding security deposits timely. Action Taken: Staff training has been provided and included in monthly reporting procedures.

View Audit 382036

Finding 1169160 (2025-001)

Material Weakness 2025

Senior Citizens Housing Dev CORP of Chicago Dba Senate Apartments

FL

HUD Housing Programs Eligibility Reporting

Oversight Agency for Audit, Senior Citizens Housing Development Corporation of Chicago respectfully submits the following corrective action plan for the year ended June 30, 2025. Name and address of independent public accounting firm: Bellows Associates, P.A., 5401 N University Drive, Suite 201, Cor...

Oversight Agency for Audit, Senior Citizens Housing Development Corporation of Chicago respectfully submits the following corrective action plan for the year ended June 30, 2025. Name and address of independent public accounting firm: Bellows Associates, P.A., 5401 N University Drive, Suite 201, Coral Springs, Florida 33067 Audit period: July 1, 2024 through June 30, 2025 The finding for the June 30, 2025 schedule of findings and questioned costs is discussed below. The finding is numbered consistently with the number assigned in the schedule. SECTION III – FINDINGS AND QUESTIONED COSTS – MAJOR FEDERAL AWARD PROGRAMS AUDIT FINDING No. 2025-001: Project Based Rental Assistance Program, ALN 14.195 Recommendation: The Project should implement procedures to ensure that proper initial eligibility procedures are conducted for potential tenants and that tenant files are accurately maintained. Action Taken: Staff training has been provided with additional HUD training inclusive of EIV reporting and tenant file maintenance and included in monthly reporting procedures. If the Oversight Agency for Audit has questions regarding this plan, please call Irene Phillips at 954- 835-9200. Sincerely yours, Irene Phillips, CFO Irene Phillips CFO

View Audit 382034

Finding 1169159 (2025-002)

Material Weakness 2025

Mansfield Metropolitan Housing Authority

OH

-Held meeting with counselors to go over findings

View Audit 382026

Finding 1169159 (2025-002)

Material Weakness 2025

Mansfield Metropolitan Housing Authority

OH

-Reviewed procedures and SOP’s with counselors

View Audit 382026

Finding 1169159 (2025-002)

Material Weakness 2025

Mansfield Metropolitan Housing Authority

OH

-Program Director or Program Manager will start performing quarterly audits on files

View Audit 382026

Finding 1169151 (2025-002)

Material Weakness 2025

Alamo Community College District

TX

Student Financial Aid Significant Deficiency Internal Control / Segregation of Duties

Student Financial Assistance Cluster – Assistance Listing No. Various Views of Responsible Officials and Planned Corrective Actions The exception identified was due to the implementation of the new mobile application which should not have allowed withdrawal functionality to bypass an academic adviso...

Student Financial Assistance Cluster – Assistance Listing No. Various Views of Responsible Officials and Planned Corrective Actions The exception identified was due to the implementation of the new mobile application which should not have allowed withdrawal functionality to bypass an academic advisor when withdrawing from all courses. Management identified the mobile application withdrawal capability and has already performed targeted reviews of students who withdrew via the app and will continue to capture future app withdrawals and perform R2T4 review and calculations accordingly. Responsible Persons Heidi Granger – Associate Vice Chancellor, Financial Aid Michelle Hill – Director, Technical Support, Financial Aid Amber Aboud – Associate Director, Compliance, Financial Aid Sarah Cuellar – Associate Director, Financial Aid Planned completion date for corrective action plan Completed during audit review - December 2025

View Audit 381992

Finding 1169147 (2025-001)

Material Weakness 2025

Alamo Community College District

TX

Internal Control / Segregation of Duties Student Financial Aid Significant Deficiency

Student Financial Assistance Cluster – Assistance Listing No. Various Views of Responsible Officials and Planned Corrective Actions Student Financial Aid has implemented exception reports to monitor students whose enrollment status has changed after initial disbursement while the attending hours fun...

Student Financial Assistance Cluster – Assistance Listing No. Various Views of Responsible Officials and Planned Corrective Actions Student Financial Aid has implemented exception reports to monitor students whose enrollment status has changed after initial disbursement while the attending hours functionality is turned off due to the Banner student system defect. This review will ensure timely identification and evaluation of Pell Grant eligibility eliminating the over-awarding of the Pell Grant award amount. Responsible Persons Michelle Hill – Director, Technical Support, Financial Aid Planned completion date for corrective action plan Completed during audit review - December 2025

View Audit 381992

Finding 1169142 (2025-001)

Material Weakness 2025

Goshen Central School District

NY

Allowable Costs / Cost Principles § 200.430

Corrective Action Plan: The District will implement a system of internal controls to ensure that all certifications are completed by employees working in the federal award programs and in a timely manner. Additionally, the District will ensure that time being charged to the grant agrees to actual ti...

Corrective Action Plan: The District will implement a system of internal controls to ensure that all certifications are completed by employees working in the federal award programs and in a timely manner. Additionally, the District will ensure that time being charged to the grant agrees to actual time spent working in the grant for each employee by sharing this information with building Principals to ensure that the information is accurate and they obtain the employee signature as soon as possible. Anticipated Completion Date:This was completed by October 31, 2025 by the District Treasurer, Assistant Superintendent for Business & PPS Director

View Audit 381964

Finding 1169139 (2025-003)

Material Weakness 2025

Lighthouse Living Centers No. 2, Inc.

TX

HUD Housing Programs Significant Deficiency

Finding #2025-003 – Significant Deficiency and Other Noncompliance. Condition and context: The required monthly replacement reserves deposit amount increased from $842 to $885 during the year, but Living Centers No. 2 failed to increase the monthly deposit. Recommendation: Reemphasize current polici...

Finding #2025-003 – Significant Deficiency and Other Noncompliance. Condition and context: The required monthly replacement reserves deposit amount increased from $842 to $885 during the year, but Living Centers No. 2 failed to increase the monthly deposit. Recommendation: Reemphasize current policies and procedures to ensure that the required monthly deposit is made in accordance with HUD requirements. Planned corrective action: Following turnover that resulted in accounting challenges, we hired a CFO to develop standard operating procedures and best practices to ensure we maintain operational excellence in non-profit accounting. We implemented strategies to address opportunities in training, best practices and oversight. Responsible officer: Terry Vaughn, Vice President of Operations and Sales. Estimated completion date: November 2025.

View Audit 381962

Finding 1169138 (2025-002)

Material Weakness 2025

Lighthouse Living Centers No. 2, Inc.

TX

HUD Housing Programs Material Weakness

Findings #2025-001 and #2025-002 – Material Weakness and Other Noncompliance. Condition and context: Adjustments were required to properly state accrued interest payable and interest expense, depreciation and accumulated depreciation, maintenance expense and building equipment, tenant deposits held ...

Findings #2025-001 and #2025-002 – Material Weakness and Other Noncompliance. Condition and context: Adjustments were required to properly state accrued interest payable and interest expense, depreciation and accumulated depreciation, maintenance expense and building equipment, tenant deposits held in trust and tenant charges, salary expense and related payables, and accounts payable and related expense. These adjustments decreased the change in net assets by approximately $59,500. Additionally, an audit adjustment of approximately $24,350 was required to properly state cash and intercompany payables. Recommendation: Policies and procedures should be designed and implemented to ensure that transactions are appropriately recognized in the accounting records, supported by appropriately approved documentation and that accounts, including accruals, are timely reviewed and reconciled. Planned corrective action: Following turnover that resulted in accounting challenges, we hired a CFO to develop standard operating procedures and best practices to ensure we maintain operational excellence in non-profit accounting. We implemented strategies to address opportunities in training, best practices and oversight. Responsible officer: Terry Vaughn, Vice President of Operations and Sales. Estimated completion date: November 2025.

View Audit 381962

Finding 1169135 (2025-002)

Material Weakness 2025

Achievement First Hartford Academy, Inc.

CT

Special Tests & Provisions Subrecipient Monitoring Reporting

Audit Finding Reference: 2025-002 – Title I Grants to Educational Agencies (LEAs) – ALN #84.010 Planned Corrective Action: For FY26, the Academy has implemented a process to ensure procurement of approval signatures on Semi-Annual Time Certification Forms, which will demonstrate a review has been pe...

Audit Finding Reference: 2025-002 – Title I Grants to Educational Agencies (LEAs) – ALN #84.010 Planned Corrective Action: For FY26, the Academy has implemented a process to ensure procurement of approval signatures on Semi-Annual Time Certification Forms, which will demonstrate a review has been performed over salary allocations. Name of Contact Person: Bob Haynes Interim Controller Bobhaynes@achievementfirst.org Anticipated completion date: December 9, 2025

View Audit 381953

Finding 1169134 (2025-001)

Material Weakness 2025

Achievement First Hartford Academy, Inc.

CT

Allowable Costs / Cost Principles Internal Control / Segregation of Duties § 200.430

Audit Finding Reference: 2025-001 – Title I Grants to Educational Agencies (LEAs) – ALN #84.010 Planned Corrective Action: We will revise our process to ensure the appropriate approval signatures are on Student Withdrawl Forms for transferred students, and for Graduated Students Listing. Name of Con...

Audit Finding Reference: 2025-001 – Title I Grants to Educational Agencies (LEAs) – ALN #84.010 Planned Corrective Action: We will revise our process to ensure the appropriate approval signatures are on Student Withdrawl Forms for transferred students, and for Graduated Students Listing. Name of Contact Person: Bob Haynes Interim Controller Bobhaynes@achievementfirst.org Anticipated completion date: December 9, 2025

View Audit 381953

Finding 1169133 (2025-002)

Material Weakness 2025

Amistad Academy

CT

Special Tests & Provisions Subrecipient Monitoring Significant Deficiency

Audit Finding Reference: 2025-002 – Title I Grants to Educational Agencies (LEAs) – ALN #84.010 Planned Corrective Action: For FY26, the Academy has implemented a process to ensure procurement of approval signatures on Semi-Annual Time Certification Forms, which will demonstrate a review has been pe...

Audit Finding Reference: 2025-002 – Title I Grants to Educational Agencies (LEAs) – ALN #84.010 Planned Corrective Action: For FY26, the Academy has implemented a process to ensure procurement of approval signatures on Semi-Annual Time Certification Forms, which will demonstrate a review has been performed over salary allocations. Name of Contact Person: Bob Haynes Interim Controller Bobhaynes@achievementfirst.org Anticipated completion date: December 9, 2025

View Audit 381949

Finding 1169132 (2025-001)

Material Weakness 2025

Amistad Academy

CT

Allowable Costs / Cost Principles Internal Control / Segregation of Duties § 200.430

Audit Finding Reference: 2025-001 – Title I Grants to Educational Agencies (LEAs) – ALN #84.010 Planned Corrective Action: We will revise our process to ensure the appropriate approval signatures are on Student Withdrawl Forms for transferred students, and for Graduated Students Listing. Name of Con...

Audit Finding Reference: 2025-001 – Title I Grants to Educational Agencies (LEAs) – ALN #84.010 Planned Corrective Action: We will revise our process to ensure the appropriate approval signatures are on Student Withdrawl Forms for transferred students, and for Graduated Students Listing. Name of Contact Person: Bob Haynes Interim Controller Bobhaynes@achievementfirst.org Anticipated completion date: December 9, 2025

View Audit 381949

Finding 1169131 (2025-002)

Material Weakness 2025

Achievement First Brooklyn Charter Schools

CT

Subrecipient Monitoring Reporting Significant Deficiency

For FY26, the Academy has implemented a process to ensure procurement of approval signatures on Semi-Annual Time Certification Forms, which will demonstrate a review has been performed over salary allocations.

View Audit 381947

Finding 1169130 (2025-001)

Material Weakness 2025

Achievement First Brooklyn Charter Schools

CT

Allowable Costs / Cost Principles Internal Control / Segregation of Duties § 200.430

We will revise our process to ensure the appropriate approval signatures are on Student Withdrawl Forms for transferred students, and for Graduated Students Listing.

View Audit 381947

Finding 1169129 (2025-003)

Material Weakness 2025

Columbia Community Unit School District #4

IL

Matching / Level of Effort / Earmarking

Condition: All grant fund expenditures should be posted to and accounted for in the general ledger accounts separate from other district expenditures. Wages that were paid with grant funds were not posted to separate grant general ledger accounts. Recommendation: We recommend steps are taken to esta...

Condition: All grant fund expenditures should be posted to and accounted for in the general ledger accounts separate from other district expenditures. Wages that were paid with grant funds were not posted to separate grant general ledger accounts. Recommendation: We recommend steps are taken to establish additional IDEA grant accounts for the purposes of tracking payroll expenditures billed to the grant. We also recommend implementing a detailed grant tracking sheet that would add another level of reconciliation between the quarterly reports to ISBE and the general ledger data. Management Response: The District will consider the implementation of additional grant accounts and a detailed grant tracking sheet. Anticipated Date of Completion: June 30, 2026

View Audit 381940

Finding 1169127 (2025-001)

Material Weakness 2025

Colony Square Cooperative

MN

Reporting Internal Control / Segregation of Duties

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 Cooperativ...

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 381931

Finding 1169120 (2025-003)

Material Weakness 2025

Mascoutah Community Unit School District No 19

IL

Eligibility

Condition: The District could not find 1 free/reduced application selected. Recommendation: We recommend establishing a procedure to ensure that all applications are kept in a manner where they can be found in the future. Management Response: The district has employed a new Food Service Director. Th...

Condition: The District could not find 1 free/reduced application selected. Recommendation: We recommend establishing a procedure to ensure that all applications are kept in a manner where they can be found in the future. Management Response: The district has employed a new Food Service Director. The new Director has been made aware of the previous errors and is following the procedures to double check applications and organize and store documents in a manner in which they can be retrieved with the appropriate back up for food claims. Anticipated Date of Completion: June 30, 2026

View Audit 381895

Finding 1169119 (2025-002)

Material Weakness 2025

Mascoutah Community Unit School District No 19

IL

Cash Management Eligibility School Nutrition Programs

Condition: Based upon single audit testing noted 4 applications approved in the wrong category: two applications that were approved as free but should have been reduced, one application that was approved reduced but should have been free, and one application that was approved reduced but should have...

Condition: Based upon single audit testing noted 4 applications approved in the wrong category: two applications that were approved as free but should have been reduced, one application that was approved reduced but should have been free, and one application that was approved reduced but should have been paid. Also noted that per ISBE exam, ISBE noted eight applications that were approved in the wrong category: 7 applications that were approved free but should have been reduced and one application that was approved free but should have been paid. Also, the ISBE exam noted two applications that were missing a valid SNAP case number. Recommendation: We recommend establishing a procedure to ensure household eligibility applications are approved in the appropriate category according the current income guidelines. Management Response: All household eligibility applications will be first taken be one employee, checked over by a second employee and then confirmed by a third employee. Anticipated Date of Completion: June 30, 2026

View Audit 381895

Corrective Action Plans

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