Corrective Action Plans

Finding 1217309 (2025-001)

Material Weakness 2025

Arisa Health INC

AR

Matching / Level of Effort / Earmarking Reporting § 200.430

Contacts: Brian Lutz, VP of Accounting; Rob Busteed, Director of Accounting Contact Phone Numbers: 479-967-5570 Ext. 2013; 479-725-5117 Audit Period Ending: June 30, 2025 2025-001: The Corporation failed to meet the 80% level of effort requirements as stipulated in the grant agreements. Management c...

Contacts: Brian Lutz, VP of Accounting; Rob Busteed, Director of Accounting Contact Phone Numbers: 479-967-5570 Ext. 2013; 479-725-5117 Audit Period Ending: June 30, 2025 2025-001: The Corporation failed to meet the 80% level of effort requirements as stipulated in the grant agreements. Management concurs with the finding. Arisa’s time-keeping application is designed to meet FLSA recordkeeping requirements. This system does not contain a solution to subdivide hours worked by project in a manner that would satisfy level of effort reporting. Arisa will require employees in positions that are partially or fully funded through a federal contract containing level of effort requirements to complete and submit a separate paper timesheet documenting time worked on the federal contract. In addition, subcontractors will be required to include a certification on their invoices that applicable level of effort requirements were met. Program Staff were alerted of the deficiencies in April 2026. Completion date: May 2026.

View Audit 403483

Finding 1217308 (2025-001)

Material Weakness 2025

NAMI Greater San Antonio

TX

Procurement, Suspension & Debarment Subrecipient Monitoring Internal Control / Segregation of Duties

The Organization will implement an official procurement policy and set forth internal controls to follow the procedures set forth in 2 CFR Part 200 Subpart D.

View Audit 403478

Finding 1217304 (2025-001)

Material Weakness 2025

Center for Legal Advocacy, Dba Disability Law Colorado

CO

Cash Management Reporting Significant Deficiency § 200.512

By expanding our internal and/or contracted accounting capacity and updating internal controls and accounting processes to include these new roles in the monthly and annual workflow, the Organization will be in better position to perform timely reconciliations and adjustments to federal grant activi...

By expanding our internal and/or contracted accounting capacity and updating internal controls and accounting processes to include these new roles in the monthly and annual workflow, the Organization will be in better position to perform timely reconciliations and adjustments to federal grant activity, ensuring timely filling of the data collection form and single audit package.

View Audit 403471

Finding 1217302 (2025-002)

Material Weakness 2025

Alexander County Housing Authority

IL

HUD Housing Programs Internal Control / Segregation of Duties

Tenant Files. 2025-001. Tenant Files Corrective action planned: The Corrective Action plan for this Audit Finding 2025-002 is that the Alexander County Housing Authority is under new management. The Housing Authority of Pulaski County was contracted on February 2, 2025, to manage this housing author...

Tenant Files. 2025-001. Tenant Files Corrective action planned: The Corrective Action plan for this Audit Finding 2025-002 is that the Alexander County Housing Authority is under new management. The Housing Authority of Pulaski County was contracted on February 2, 2025, to manage this housing authority. On this date, all HUD guidelines followed at Pulaski County were implemented at Alexander County Housing Authority. Contact person: JoAnn Pink, Executive Director. Anticipated completion date: September 30, 2026.

View Audit 403467

Finding 1217301 (2025-003)

Material Weakness 2025

Palm Beach County Housing Authority

FL

HUD Housing Programs Special Tests & Provisions

Public Housing – Assistance Listing No. 14.850 Recommendation: We recommend the Authority strengthen internal controls over income determination and rent calculation by: • Enhancing procedures to ensure all sources of tenant income are properly identified, verified, and included in calculations • Pr...

Public Housing – Assistance Listing No. 14.850 Recommendation: We recommend the Authority strengthen internal controls over income determination and rent calculation by: • Enhancing procedures to ensure all sources of tenant income are properly identified, verified, and included in calculations • Providing additional training to staff on HUD income determination and rent calculation requirements • Implementing or strengthening supervisory review controls to detect and correct errors in a timely manner Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: PBCHA staff responsible for eligibility determinations will be scheduled for rent calculation training through available resources over the next FY. The PBCHA will continue to conduct internal training for program staff on eligibility documentation requirements and program rules to reinforce compliance standards. Through the implementation of intakes, interims and annual recertifications utilizing Yardi’s online workflows, the PBCHA expects to see increased improvement through automated application and documentation processes. The PBCHA will utilize available dashboards, internal audits and formal monitoring protocols to ensure continued compliance and to minimize the risk of recurring deficiencies. The PBCHA will continue to assess current staffing levels and evaluate the feasibility of restructuring, hiring outside consultants and/or increasing staffing to support consistent and compliant eligibility determinations while being cognizant of current funding uncertainties. Name(s) of the contact person(s) responsible for corrective action: Carol Jones-Gilbert Planned completion date for corrective action plan: September 30, 2027

View Audit 403465

Finding 1217300 (2025-002)

Material Weakness 2025

Palm Beach County Housing Authority

FL

Subrecipient Monitoring HUD Housing Programs Significant Deficiency

Housing Voucher Cluster – Assistance Listing No. 14.871 and 14.879 Recommendation: We recommend the Authority strengthen internal controls over HQS enforcement by implementing procedures to track and monitor HQS deficiencies and required correction timelines. Explanation of disagreement with audit f...

Housing Voucher Cluster – Assistance Listing No. 14.871 and 14.879 Recommendation: We recommend the Authority strengthen internal controls over HQS enforcement by implementing procedures to track and monitor HQS deficiencies and required correction timelines. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: PBCHA has made significant improvements in inspection compliance and will continue to monitor its third-party inspection vendor to ensure timely submission of inspection reports. The agency will utilize Yardi and other centralized tracking systems to monitor inspection due dates and follow-up activities, ensuring inspections are completed in accordance with HUD requirements. PBCHA will also provide ongoing staff training to reinforce NSPIRE requirements and compliance expectations. Name(s) of the contact person(s) responsible for corrective action: Yvette Bembry Planned completion date for corrective action plan: December 31, 2026

View Audit 403465

Finding 1217297 (2025-001)

Material Weakness 2025

Palm Beach County Housing Authority

FL

HUD Housing Programs Eligibility

Housing Voucher Cluster – Assistance Listing No. 14.871 and 14.879 Recommendation: We recommend the Authority strengthen internal controls over tenant recertifications to ensure: • Form HUD-50058 and supporting eligibility documentation are current, complete, and properly maintained for all tenants ...

Housing Voucher Cluster – Assistance Listing No. 14.871 and 14.879 Recommendation: We recommend the Authority strengthen internal controls over tenant recertifications to ensure: • Form HUD-50058 and supporting eligibility documentation are current, complete, and properly maintained for all tenants • Timely processing of tenant move-outs and termination of HAP payments • Ongoing monitoring procedures to identify and promptly resolve instances of continued payments after program exit, including timely recovery of any overpayments Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: PBCHA will conduct a review of the participant records to ensure Form HUD-50058 submissions and supporting eligibility documentation are attached, complete and accurate. Staff will use the Yardi Compliance Dashboard to monitor compliance, track processing timelines, and perform ongoing quality-control reviews. The agency will strengthen procedures for processing move-outs and program terminations through tracking mechanisms and supervisory oversight. Staff will receive training on HUD requirements related to tenant exits, terminations, and HAP processing. PBCHA will also perform monthly reconciliations of HAP payments, HUD-50058 terminations, and moveout records to identify and correct improper payments. These actions will help ensure accurate records, timely termination of assistance, prevention of overpayments, and compliance with HUD requirements. Name of the contact person responsible for corrective action: Yvette Bembry Planned completion date for corrective action plan: December 31, 2026

View Audit 403465

Finding 1217294 (2025-003)

Material Weakness 2025

Safehaven of Tarrant County

TX

Period of Performance Significant Deficiency Internal Control / Segregation of Duties

Finding 2025-003: Period of Performance – Significant deficiency in internal controls over compliance and compliance finding. Management Response The agency has added another level of review for Requests for Reimbursement (RFRs) to improve internal controls. Effective 10.01.2025, grant expense charg...

Finding 2025-003: Period of Performance – Significant deficiency in internal controls over compliance and compliance finding. Management Response The agency has added another level of review for Requests for Reimbursement (RFRs) to improve internal controls. Effective 10.01.2025, grant expense charges are processed as follows: 1. Finance Assistant creates grant Request for Reimbursement (RFR). Upon completion of the RFR, theAssistant signs the RFR as completed, then submits completed RFR along with supportingdocumentation to the EVP of Finance. Formerly, the creation of the RFR was being done by the EVP of Finance, with the addition of staff, we were able to relocate those duties to Finance Assistance in the Fall of 2025. 2. The EVP of Finance reviews the RFR for correct calculations and if the appropriate supportingdocumentation is attached. The EVP of Finance signs the RFR, then presents it to the ChiefOperating Officer for final approval. 3. Chief Operating Officer receives RFR from EVP of Finance, reviews RFR and approves for submissionto the Grantor or sends back for corrections. Adding a staff member in the Finance department allowed us to add another level of approval. In addition, notations have been made on all internal grant tracking documents, as to the start of each grant period. A payroll pay calendar is accessible to verify the exact dates covered on a pay period.

View Audit 403455

Finding 1217291 (2025-001)

Material Weakness 2025

Safehaven of Tarrant County

TX

Internal Control / Segregation of Duties Subrecipient Monitoring Material Weakness

Finding 2025-001: Reporting – Material weakness in internal controls over compliance and compliance finding. Management Response Effective May 12, 2026, the agency enhanced its performance reporting oversight by requiring the Chief of Mission and the Executive Vice President of Victim Services to re...

Finding 2025-001: Reporting – Material weakness in internal controls over compliance and compliance finding. Management Response Effective May 12, 2026, the agency enhanced its performance reporting oversight by requiring the Chief of Mission and the Executive Vice President of Victim Services to review and approve preliminary reports to funding entities drafted by the compliance department, prior to submission. The agency’s compliance department, which consists of a Database Manager, Compliance Manager, and Executive Vice President of Compliance, is tasked with ensuring reliability and validity of client-level database entered in the client database. Monthly, the agency’s compliance department reconciles the number of new and unduplicated participants served by the agency as a whole and within each grant-funded program. The compliance department’s report originator will save the source data electronically, ensuring it matches the official figures submitted to the funding entity. Source data reports will be available upon request by agency staff and/or funders.

View Audit 403455

Finding 1217279 (2025-002)

Material Weakness 2025

CITY OF PROSPECT HEIGHTS

IL

Subrecipient Monitoring Internal Control / Segregation of Duties

Corrective Action Plan Finding No: 2025-002 Condition: During the audit, the City did not verify that the contractor or subcontractor submitted the required certified payrolls for work performed under the federally assisted construction contract. As a result, the City did not maintain or review suff...

Corrective Action Plan Finding No: 2025-002 Condition: During the audit, the City did not verify that the contractor or subcontractor submitted the required certified payrolls for work performed under the federally assisted construction contract. As a result, the City did not maintain or review sufficient documentation to demonstrate compliance with wage rate requirements for all applicable weeks during the audit period. Management’s Plan: The City recognizes the need to improve internal controls related to grant disbursements for labor provided by our contractors. The project this past year included participation from multiple federal funding agencies and payments by the City as well as direct payments to contractors by the funding agencies. We have already added additional procedures and checkpoints to provide for adequate documentation related to certified payrolls. In addition, the City is planning to procure a grant tracking system to automate tracking the details for every project. Anticipated Date of Completion: 12/31/26 Name of Contact Person: Cheri Grieco, Finance Director

View Audit 403433

Finding 1217278 (2025-001)

Material Weakness 2025

CITY OF PROSPECT HEIGHTS

IL

Subrecipient Monitoring Reporting Internal Control / Segregation of Duties

Corrective Action Plan Finding No: 2025-001 Condition: During the audit, our procedures indicated that capital expenditures were primarily reviewed at an individual invoice level to determine whether they exceeded the capitalization threshold. We also noted that communication between the City’s fina...

Corrective Action Plan Finding No: 2025-001 Condition: During the audit, our procedures indicated that capital expenditures were primarily reviewed at an individual invoice level to determine whether they exceeded the capitalization threshold. We also noted that communication between the City’s finance department and engineers or other City staff responsible for managing grants and capital projects is not consistently formalized. Management’s Plan: Management is committed to strengthening coordination and oversight of the City’s grant-funded capital projects through centralizing project tracking via grant/project management software, implementing rigorous compliance monitoring, and improving intradepartmental communication. By centralizing our grants through the course of their lifespans, we intend to better track the progress of our grant projects and budgets and with the inclusion of grant document storage, to enhance compliance across departments. We will also designate coordination teams consisting of liaisons across administration, finance, engineering, public works, and grant writers to ensure internal alignment. Anticipated Date of Completion: 4/30/2027 Name of Contact Person: Cheri Grieco, Finance Director

View Audit 403433

Finding 1217269 (2025-001)

Material Weakness 2025

YMCA of Greater Louisville, Inc.

KY

Reporting Internal Control / Segregation of Duties

The YMCA and Affiliates’ have begun enhancing internal controls related to the reporting process through additional staff training, increased cross-training of personnel responsible for report preparation and submission, and the development of more formalized review procedures. Management has also r...

The YMCA and Affiliates’ have begun enhancing internal controls related to the reporting process through additional staff training, increased cross-training of personnel responsible for report preparation and submission, and the development of more formalized review procedures. Management has also reinforced expectations regarding reporting requirements and completeness prior to submission. These actions are intended to further strengthen consistency and oversight within the reporting process while building upon controls already in place.

View Audit 403430

Finding 1217267 (2025-002)

Material Weakness 2025

PRESERVATION TRUST OF VERMONT, INC.

VT

Allowable Costs / Cost Principles Significant Deficiency Internal Control / Segregation of Duties § 200.303 § 200.508

The Organization acknowledges and concurs with the auditor’s finding as discussed within the Schedule of Findings and Questioned Costs for the year-ended September 30, 2025. During the audit for PTV’s fiscal year 2025, it was determined that we should add an additional layer of confirmation to our a...

The Organization acknowledges and concurs with the auditor’s finding as discussed within the Schedule of Findings and Questioned Costs for the year-ended September 30, 2025. During the audit for PTV’s fiscal year 2025, it was determined that we should add an additional layer of confirmation to our approval process. Currently, the President reviews invoices prior to signing the checks, thereby signaling approval. Moving forward, in addition to this review, the President will also confirm approval by initialing the invoice itself. Beyond this initial next step, PTV will also review its current Fiscal Policy to consider implementation of an approval process that allows other authorized approvers the authority to review expenses up to certain thresholds. Policy development at this level requires Finance Committee involvement and full Board approval, so it may take several months to fully implement a new process. We appreciate the opportunity to continue to strengthen PTV’s internal controls and financial operations.

View Audit 403427

Finding 1217265 (2025-001)

Material Weakness 2025

PRESERVATION TRUST OF VERMONT, INC.

VT

Allowable Costs / Cost Principles Reporting Significant Deficiency

The Organization acknowledges and concurs with the auditor’s finding as discussed within the Schedule of Findings and Questioned Costs for the year-ended September 30, 2025. During the audit for PTV’s fiscal year 2025, it was determined that we should add an additional layer of confirmation to our a...

The Organization acknowledges and concurs with the auditor’s finding as discussed within the Schedule of Findings and Questioned Costs for the year-ended September 30, 2025. During the audit for PTV’s fiscal year 2025, it was determined that we should add an additional layer of confirmation to our approval process. Currently, the President reviews invoices prior to signing the checks, thereby signaling approval. Moving forward, in addition to this review, the President will also confirm approval by initialing the invoice itself. Beyond this initial next step, PTV will also review its current Fiscal Policy to consider implementation of an approval process that allows other authorized approvers the authority to review expenses up to certain thresholds. Policy development at this level requires Finance Committee involvement and full Board approval, so it may take several months to fully implement a new process. We appreciate the opportunity to continue to strengthen PTV’s internal controls and financial operations.

View Audit 403427

Finding 1217264 (2025-002)

Material Weakness 2025

Maple City Health Care Center, Inc.

IN

Procurement, Suspension & Debarment

2025-002 PROCUREMENT, SUSPENSION & DEBARMENT Condition: The Organization did not comply with the Davis-Bacon prevailing wage requirement Recommendation: The Organization executed the contract in question in June 2024, and the related project was completed in April 2025. The Organization's 2024 audit...

2025-002 PROCUREMENT, SUSPENSION & DEBARMENT Condition: The Organization did not comply with the Davis-Bacon prevailing wage requirement Recommendation: The Organization executed the contract in question in June 2024, and the related project was completed in April 2025. The Organization's 2024 audit was not issued until May 2025. Consequently, the Organization was not aware of the Davis-Bacon Act applicability during the period of contract execution and project performance and therefore did not have the opportunity to amend the contract to incorporate the Davis-Bacon Act requirements. In response to the findings identified in the prior year audit, the Organization has since implemented new policies and procedures to ensure timely identification of applicable compliance requirements for future contracts. Corrective Action Plan: The Director of Finance/CFO prepared a summary document regarding the federal guidelines on procurement, in particular highlighting this requirement concerning the Davis- Bacon act. Contact Person Responsible: Interim Director of Finance /CFO Completion date: June 30, 2025

View Audit 403417

Finding 1217263 (2025-001)

Material Weakness 2025

Maple City Health Care Center, Inc.

IN

Procurement, Suspension & Debarment Eligibility § 200.214

2025-001 PROCUREMENT, SUSPENSION & DEBARMENT Condition: We identified an instance where the Organization did not verify the suspension and debarment status of a vendor prior to awarding the vendor a federal contract. Documentation of verification through SAM.gov or equivalent methods could not be pr...

2025-001 PROCUREMENT, SUSPENSION & DEBARMENT Condition: We identified an instance where the Organization did not verify the suspension and debarment status of a vendor prior to awarding the vendor a federal contract. Documentation of verification through SAM.gov or equivalent methods could not be provided by management. Subsequent review of SAM.gov indicated no instances of suspended or debarred vendors used on the project funded with federal awards. Recommendation: We recommend the Organization ensure the staff involved with procuring contracts using federal awards are aware of the federal requirement, including the already established policies that the Organization has regarding such requirements. Corrective Action Plan: The contract associated with this finding was signed on January 24, 2025, before the 2024 financial audit was finished, so before the organization made changes to their procurement policy. Since then, the organization has reviewed its existing procurement policy, and updated it as necessary and will ensure that for future projects, the procurement policy will be carefully followed, including verification through SAM.gov. Staff involved in projects and procurement will receive training regarding the policies and the federal guidelines for federally funded projects. Contact Person Responsible: Interim Director of Finance /CFO Completion date: June 30, 2025

View Audit 403417

Finding 1217262 (2025-004)

Material Weakness 2025

Clay Local School District

OH

Cash Management Matching / Level of Effort / Earmarking Internal Control / Segregation of Duties § 200.302 § 200.303

Utilize the snack count option within the Payschools program to obtain accurate counts. Cafeteria manager will go over the numbers before certifying for submission.

View Audit 403412

Finding 1217260 (2025-002)

Material Weakness 2025

Cabrini of Westchester

NY

HUD Housing Programs Significant Deficiency Internal Control / Segregation of Duties

Federal Agency: U.S. Department of Housing and Urban Development Federal Program Title: Supportive Housing for the Elderly Section 232 ALN Number: 14.129 Award Period: Year Ended December 31, 2025 Type of Finding: • Significant Deficiency in Internal Control over Compliance • Other Matters Criteria ...

Federal Agency: U.S. Department of Housing and Urban Development Federal Program Title: Supportive Housing for the Elderly Section 232 ALN Number: 14.129 Award Period: Year Ended December 31, 2025 Type of Finding: • Significant Deficiency in Internal Control over Compliance • Other Matters Criteria or specific requirement: HUD requires a signed management fee agreement when such transactions take place. Condition: Unallowed related party transactions were identified in 2025. Context: Affiliate dues were booked to the Home's cash clearing account as a credit for $400,000 with the understanding that these fees would qualify as a service contract rather than a management fee. However, due to the cash infused into the program by The Carmelite System, the $400,000 will not be noted as questioned costs needing to be repaid into the project. Recommendation: The Home should adhere to the Regulatory Agreement and obtain HUD’s approval prior to taking any actions specifically precluded in the Regulatory Agreement. Action taken in response to finding: There is no disagreement with the audit finding. Management will work to obtain proper approval going forward. If the U.S. Department of Housing and Urban Development has questions regarding this schedule, please call Corrinne Schindler at 518-537-7500 or CSchindler@CarmeliteSystem.org.

View Audit 403406

Finding 1217259 (2025-001)

Material Weakness 2025

Cabrini of Westchester

NY

HUD Housing Programs Material Weakness Internal Control / Segregation of Duties

Federal Agency: U.S. Department of Housing and Urban Development Federal Program Title: Supportive Housing for the Elderly Section 232 ALN Number: 14.129 Award Period: Year Ended December 31, 2025 Type of Finding: • Material Weakness in Internal Control over Compliance • Other Matters Criteria or sp...

Federal Agency: U.S. Department of Housing and Urban Development Federal Program Title: Supportive Housing for the Elderly Section 232 ALN Number: 14.129 Award Period: Year Ended December 31, 2025 Type of Finding: • Material Weakness in Internal Control over Compliance • Other Matters Criteria or specific requirement: The Home was required to obtain written approval for the member substitution transaction with The Carmelite System, Inc. prior to closing. Condition: Membership transfer agreements must be in place and signed by HUD during the transition of Ownership / Governance. Context: Formal HUD approval was not obtained in relation the Member Substitution in which the Carmelite System, Inc. became the sole member and sponsor of the Home. Recommendation: The Home should adhere to the Regulatory Agreement and obtain HUD’s approval prior to taking any actions specifically precluded in the Regulatory Agreement. Action taken in response to finding: There is no disagreement with the audit finding. Management is working to obtain the necessary HUD approvals.

View Audit 403406

Finding 1217251 (2025-001)

Material Weakness 2025

Plumas-Sierra Rural Electric Cooperative

CA

Allowable Costs / Cost Principles Subrecipient Monitoring Significant Deficiency

Management agrees with the finding and acknowledges that internal controls over inventory issuance were not consistently followed by an individual. While procedures existed requiring documentation of pick tickets, compliance with these procedures was not adequately enforced on a small number of tran...

Management agrees with the finding and acknowledges that internal controls over inventory issuance were not consistently followed by an individual. While procedures existed requiring documentation of pick tickets, compliance with these procedures was not adequately enforced on a small number of transactions. The Cooperative has begun strengthening its internal control processes to ensure that all inventory withdrawals are properly authorized and documented prior to release. In addition, management will implement monitoring procedures, including periodic reviews of inventory documentation, to ensure compliance with established controls. Training will also be provided to all relevant personnel to reinforce proper procedures and the importance of adherence to internal control requirements. Management expects these corrective actions to be fully implemented by May 15, 2026.

View Audit 403394

Finding 1217240 (2025-005)

Material Weakness 2025

Community Health Improvement Center, Inc. D/b/a Crossing Healthcare

IL

Reporting Internal Control / Segregation of Duties § 200.329

Finding summary – The Organization’s annual UDS report was selected for testing. Of the ten inputs tested, four exceptions were noted as the Organization was unable to provide supporting documentation that agreed to the line items tested on the report. Corrective Action Planned - Management has enga...

Finding summary – The Organization’s annual UDS report was selected for testing. Of the ten inputs tested, four exceptions were noted as the Organization was unable to provide supporting documentation that agreed to the line items tested on the report. Corrective Action Planned - Management has engaged with an independent 3rd party accounting firm to review current processes, assist with strengthening internal controls and month-end/year-end closing procedures, and provide assistance in completing the Organization’s annual UDS report. Anticipated Completion Date – Completed 1/1/2026 Responsible Contact Person – Margret Guy, Director of Revenue; Julie Brilley, CEO Management Response - Management concurs with the auditor's finding. The Organization acknowledges that a mistake was made on Table 9E-Other Revenue, where grant income, from the Early Childhood Development (ECD) grant, was listed in the incorrect location. The ECD grant should have been listed under Federal Grants: UHI Grant Revenue. Additionally, the Organization’s UDS preparer, completed a transposition error when entering a salary amount in Table 8A.

View Audit 403385

Finding 1217239 (2025-004)

Material Weakness 2025

Community Health Improvement Center, Inc. D/b/a Crossing Healthcare

IL

Special Tests & Provisions Subrecipient Monitoring

Finding summary – Patients received sliding fee discounts that were inconsistent with the stated sliding fee discount categories under the Organization’s policy. Corrective Action Planned – 1. Crossing has implemented a billing workflow to automatically apply sliding fee scale discounts to all eligi...

Finding summary – Patients received sliding fee discounts that were inconsistent with the stated sliding fee discount categories under the Organization’s policy. Corrective Action Planned – 1. Crossing has implemented a billing workflow to automatically apply sliding fee scale discounts to all eligible self-pay accounts during the billing process, eliminating manual charge adjustments and improving consistency with established guidelines. 2. All billing staff have received retraining on the correct manual posting procedures for sliding fee scale adjustments after insurance payment, ensuring compliance with patient income verification and applicable percentage guidelines. 3. We will continue ongoing monitoring and review of accounts receiving sliding fee scale adjustments to ensure accurate and compliant application of the approved discount and percentages. Anticipated Completion Date – Completed 4/1/2026 Responsible Contact Person – Margret Guy, Director of Revenue; Julie Brilley, CEO Management Response - Management concurs with the auditor's finding. The Organization acknowledges that patients received sliding fee discounts that were inconsistent with the stated sliding fee discount categories under the Organization’s policy. The corrective action plan has been successfully implemented and will be monitored regularly to ensure compliance.

View Audit 403385

Finding 1217238 (2025-003)

Material Weakness 2025

Community Health Improvement Center, Inc. D/b/a Crossing Healthcare

IL

Cash Management § 200.305

Finding summary – The Organization’s internal controls over the cash drawdown process were not operating effectively to minimize the time elapsing between the transfer of funds to the Organization from the U.S. Treasury and the issuance of payments for program purposes to the Organization. Correctiv...

Finding summary – The Organization’s internal controls over the cash drawdown process were not operating effectively to minimize the time elapsing between the transfer of funds to the Organization from the U.S. Treasury and the issuance of payments for program purposes to the Organization. Corrective Action Planned – Designated Crossing Healthcare staff will submit cash draw down requests no more than 5 business days prior to the anticipated pay date for the pay period claimed. Anticipated Completion Date – Completed 5/7/2026 Responsible Contact Person – Julie Brilley, CEO Management Response - Management concurs with the auditor's finding. The Organization acknowledges that the cash drawdown process was not operating effectively to minimize the time lapsing between the transfer of funds to the Organization from the U.S. Treasury and the issuance of payments for program purposes to the Organization. Management has developed a corrective action plan, including a dedicated schedule listing Organization pay periods, pay dates, appropriate fund draw dates, and funding draw amounts.

View Audit 403385

Finding 1217234 (2025-008)

Material Weakness 2025

MIDLOTHIAN VILLAGE OF

IL

Procurement, Suspension & Debarment § 200.318

2025-008: Procurement Policy Condition: We noted that the Village does not have a documented procurement policy in place as required by 2 CFR 200.318. No instances of noncompliance were identified in the procurement transactions tested. Corrective Action Planned: A purchasing and procurement policy ...

2025-008: Procurement Policy Condition: We noted that the Village does not have a documented procurement policy in place as required by 2 CFR 200.318. No instances of noncompliance were identified in the procurement transactions tested. Corrective Action Planned: A purchasing and procurement policy was created and discussed at the May 2026 finance committee meeting and approved by the board in May 2026. Name of the Contact Person Responsible for Corrective Action: finance department Anticipated Completion Date: May 2026

View Audit 403376

Finding 1217233 (2025-004)

Material Weakness 2025

CITY OF DAYTON

MN

Material Weakness Internal Control / Segregation of Duties

Community Project Funding (CFP) Program – Assistance Listing No. 14.251 Recommendation: We recommend the City ensure environmental review requirements are completed and documented prior to incurring any project-related expenditures for the Community Project Funding program. The City should continue ...

Community Project Funding (CFP) Program – Assistance Listing No. 14.251 Recommendation: We recommend the City ensure environmental review requirements are completed and documented prior to incurring any project-related expenditures for the Community Project Funding program. The City should continue to maintain procedures designed to prevent project activities from beginning before environmental review requirements are satisfied. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: City management noted that procedures have been implemented for this grant, including a memorandum of understanding that is annually reaffirmed by the City Council, to ensure environmental review requirements are completed prior to incurring project expenditures and to prevent similar occurrences in the future.. Name of the contact person responsible for corrective action: Zach Doug Planned completion date for corrective action plan: December 31, 2026

View Audit 403370

Corrective Action Plans

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