Corrective Action Plans

Finding 502109 (2024-001)

Significant Deficiency 2024

Village Cooperative of Burlington

IA

Internal Control / Segregation of Duties Significant Deficiency

Status – Resolved. Management hired an employee separate from management to perform day to day functions.

View Audit 324309

Finding 502108 (2024-001)

Significant Deficiency 2024

Village Cooperative of Lee's Summit

MO

HUD Housing Programs Special Tests & Provisions Significant Deficiency

In April 2024, prior to the conclusion of the audit, the Cooperative made deposits totaling $39,916 to the general operating reserve to fund the reserve to its proper balance. The management agent will implement a process to ensure withdrawals are made as required by the regulatory agreement.

View Audit 324305

Finding 502103 (2024-001)

Significant Deficiency 2024

Houston Forensic Science Center, Inc.

TX

Procurement, Suspension & Debarment HUD Housing Programs Significant Deficiency

Finding #2024-001 – Significant Deficiency and Other Noncompliance. Recommendation: Re-emphasize to program personnel the procurement process and adherence to HFSC’s policies and procedures. Views of responsible officials and planned corrective actions: HFSC agrees with the finding and have rein...

Finding #2024-001 – Significant Deficiency and Other Noncompliance. Recommendation: Re-emphasize to program personnel the procurement process and adherence to HFSC’s policies and procedures. Views of responsible officials and planned corrective actions: HFSC agrees with the finding and have reinforced and educated those involved in purchasing regarding HFSC’s procurement policies. In addition, HFSC is analyzing the feasibility of bringing on a Grant Purchasing Specialist to help in the administration of all grant-related purchasing. Responsible officer: David Leach CPA, CIA, Chief Financial Officer and Treasurer. Estimated completion date: September 30, 2024.

View Audit 324300

Finding 502091 (2024-004)

Significant Deficiency 2024

River Kourt Apartments

OR

Procurement, Suspension & Debarment HUD Housing Programs Significant Deficiency § 200.318 § 200.320

Management’s Response and Planned Corrective Actions: 1. The name of the contact person(s) responsible for the corrective action a. Kathleen Broadhurst, Sr. Director of Finance/ShelterCare 2. The corrective action planned: a. Internal control document and procedure that is consistent with the compli...

Management’s Response and Planned Corrective Actions: 1. The name of the contact person(s) responsible for the corrective action a. Kathleen Broadhurst, Sr. Director of Finance/ShelterCare 2. The corrective action planned: a. Internal control document and procedure that is consistent with the compliance requirement for: i. CFR §200.318, General procurement standards identify all requirements which the offerors must fulfill and all other factors to be used in evaluating bids or proposals i. §200.319, Competition requirements will be met with documented procurement actions using strategic sourcing, shared services, and other similar procurement arrangements ii. §200.320 Methods of procurement to be followed. 3. The anticipated completion date: a. New processes will be implemented by 11/1/2024.

View Audit 324276

Finding 502090 (2024-003)

Significant Deficiency 2024

River Kourt Apartments

OR

HUD Housing Programs Reporting Significant Deficiency

Management’s Response and Planned Corrective Actions: 1. The name of the contact person(s) responsible for the corrective action a. Kathleen Broadhurst, Sr. Director of Finance/ShelterCare 2. The corrective action planned: a. ShelterCare, as managing agent, has hired a new property accountant which ...

Management’s Response and Planned Corrective Actions: 1. The name of the contact person(s) responsible for the corrective action a. Kathleen Broadhurst, Sr. Director of Finance/ShelterCare 2. The corrective action planned: a. ShelterCare, as managing agent, has hired a new property accountant which should help with keeping the books current and ShelterCare prepared to start audit work mid-July and be ready to submit the audit to HUD within 90 days of the fiscal year end. 3. The anticipated completion date: a. 07/01/2024. New property accountant was hired in August of 2023 and the audit for fiscal year ended June 30, 2024 will meet this submission deadline.

View Audit 324276

Finding 502089 (2024-002)

Material Weakness 2024

River Kourt Apartments

OR

HUD Housing Programs Eligibility Material Weakness

Management’s Response and Planned Corrective Actions: 1. The name of the contact person(s) responsible for the corrective action a. Dana Petersen-Crabb, Sr. Director of Housing, ShelterCare b. Amanda Smith, Property Development Manager, ShelterCare 2. The corrective action planned: a. Pinehurst Mana...

Management’s Response and Planned Corrective Actions: 1. The name of the contact person(s) responsible for the corrective action a. Dana Petersen-Crabb, Sr. Director of Housing, ShelterCare b. Amanda Smith, Property Development Manager, ShelterCare 2. The corrective action planned: a. Pinehurst Management was overseeing property through 4/30/23. ShelterCare was assigned as new managing agent 5/1/2023. It took ShelterCare’s property management department some time to hire an Assistant Property Manager and for the department to determine just how they would tackle the number of recertifications that were delinquent. b. ShelterCare is working to ensure that the onsite manager will be trained in HUD compliance. Training started in October 2023 and continues. c. We are currently prioritizing recertifications by oldest first and getting the property recertifications back on track. d. Monthly review of TRACS to ensure recertifications are being completed in a timely manner. 3. The anticipated completion date: a. Monthly review of TRACS reports will be implemented by 10/1/2023. Training was provided to new staff in February of 2024 and is ongoing. b. Recertifications are expected to be completed by December 31, 2024.

View Audit 324276

Finding 502088 (2024-003)

Material Weakness 2024

Afiya Apartments INC

OR

HUD Housing Programs Special Tests & Provisions Cash Management

Management’s Response and Planned Corrective Actions: 1. The name of the contact person(s) responsible for the corrective action a. Kathleen Broadhurst, Sr. Director of Finance, ShelterCare 2. The corrective action planned: a. ShelterCare, as managing agent, will ensure that there are no HUD unautho...

Management’s Response and Planned Corrective Actions: 1. The name of the contact person(s) responsible for the corrective action a. Kathleen Broadhurst, Sr. Director of Finance, ShelterCare 2. The corrective action planned: a. ShelterCare, as managing agent, will ensure that there are no HUD unauthorized withdrawals/disbursements from the replacement reserve account and/or residual receipts account going forward. 3. The anticipated completion date: a. 07/01/2024

View Audit 324275

Finding 502087 (2024-002)

Significant Deficiency 2024

Afiya Apartments INC

OR

HUD Housing Programs Reporting Significant Deficiency

Management’s Response and Planned Corrective Actions: 1. The name of the contact person(s) responsible for the corrective action a. Kathleen Broadhurst, Sr. Director of Finance, ShelterCare 2. The corrective action planned: a. ShelterCare, as managing agent, has hired a new property accountant which...

Management’s Response and Planned Corrective Actions: 1. The name of the contact person(s) responsible for the corrective action a. Kathleen Broadhurst, Sr. Director of Finance, ShelterCare 2. The corrective action planned: a. ShelterCare, as managing agent, has hired a new property accountant which should help with keeping the books current and ShelterCare prepared to start audit work mid-July and be ready to submit the audit to HUD within 90 days of the fiscal year end. 3. The anticipated completion date: a. 7/01/2024. New property accountant was hired in August of 2023 and the audit for fiscal year ended June 30, 2024 will meet this submission deadline.

View Audit 324275

Finding 502086 (2024-001)

Material Weakness 2024

Afiya Apartments INC

OR

HUD Housing Programs Eligibility Material Weakness

Management’s Response and Planned Corrective Actions: 1. The name of the contact person(s) responsible for the corrective action a. Dana Petersen, Sr. Director of Housing, ShelterCare b. Amanda Smith, Property Development Manager, ShelterCare 2. The corrective action planned: a. Pinehurst Management...

Management’s Response and Planned Corrective Actions: 1. The name of the contact person(s) responsible for the corrective action a. Dana Petersen, Sr. Director of Housing, ShelterCare b. Amanda Smith, Property Development Manager, ShelterCare 2. The corrective action planned: a. Pinehurst Management was overseeing property through 4/30/23. ShelterCare was assigned as new managing agent 5/1/2023. It took ShelterCare’s property management department some time to hire an Assistant Property Manager and for the department to determine just how they would tackle the number of recertifications that were delinquent. b. ShelterCare is working to ensure that the onsite manager will be trained in HUD compliance. Training started in October 2023 and continues. c. We are currently prioritizing recertifications by oldest first and getting the property recertifications back on track. d. Monthly review of TRACS to ensure recertifications are being completed in a timely manner. 3. The anticipated completion date: a. New onsite HUD compliance training was started in October 2023 and is ongoing. Monthly review of TRACS reports was implemented in October of 2023. b. Recertifications are expected to be completed by December 31, 2024.

View Audit 324275

Finding 502078 (2024-002)

Significant Deficiency 2024

Augustana College

IL

Questioned Costs Student Financial Aid Significant Deficiency

Recommendation: We recommend that the College review their awarding procedures and implement procedures to ensure the subsidized direct loans are awarded within a students’ need. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in respon...

Recommendation: We recommend that the College review their awarding procedures and implement procedures to ensure the subsidized direct loans are awarded within a students’ need. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: Augustana corrected this student’s over-award during the audit process by reallocating the loan funds from subsidized to unsubsidized. In the future, Augustana intends to develop and utilize a report that will identify students who have negative unmet need and who have a subsidized loan. Staff will review students who appear on this report and revise aid as necessary to ensure students are within their eligibility for need-based financial aid. Name of the contact person responsible for corrective action: John Cage at johncage@augustana.edu Planned completion date for corrective action plan: January 1, 2025

View Audit 324271 Questioned Costs: $1

Finding 502070 (2024-001)

Significant Deficiency 2024

Augustana College

IL

Student Financial Aid Reporting Significant Deficiency

Recommendation: We recommend the College evaluate its procedures and policies around reporting enrollment changes to NSLDS to ensure that student information is reported accurately and timely. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action t...

Recommendation: We recommend the College evaluate its procedures and policies around reporting enrollment changes to NSLDS to ensure that student information is reported accurately and timely. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: Augustana intends to add a step in the withdrawal process where enrollment status updates for withdrawing students are entered into the National Student Clearinghouse directly, as opposed to waiting for the file transmission from the Student Information System. Name of the contact person responsible for corrective action: John Cage at johncage@augustana.edu Planned completion date for corrective action plan: September 30, 2024

View Audit 324271

Finding 502060 (2024-003)

Significant Deficiency 2024

Forest Park School District

MI

Allowable Costs / Cost Principles Eligibility Reporting

2024-003 Child Nutrition Cluster – Assistance Listing No. 10.CNC Recommendation: CLA recommends the District designate an individual to review student lunch statuses. Having an appropriate reviewer over student status is intended to prevent, detect, and correct a potential error in the food servic...

2024-003 Child Nutrition Cluster – Assistance Listing No. 10.CNC Recommendation: CLA recommends the District designate an individual to review student lunch statuses. Having an appropriate reviewer over student status is intended to prevent, detect, and correct a potential error in the food service system. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action planned/taken in response to finding: Management will designate an individual to review student lunch statuses. Name of the contact person responsible for corrective action: Kathy Stankewicz, Business Manager Planned completion date for corrective action plan: June 30, 2025

View Audit 324255

Finding 502057 (2024-001)

None 2024

Kentucky Housing Corporation

TN

Questioned Costs Subrecipient Monitoring Allowable Costs / Cost Principles § 200.516

The Corporation identified a subrecipient’s misuse of grant funds during a regular audit of draws and a scheduled monitoring review/technical assistance consultation for the agency. Ethic complaints were received by the Corporation during the same timeframe regarding the subrecipient’s management wh...

The Corporation identified a subrecipient’s misuse of grant funds during a regular audit of draws and a scheduled monitoring review/technical assistance consultation for the agency. Ethic complaints were received by the Corporation during the same timeframe regarding the subrecipient’s management which expanded the scope of the financial review. As a result of these monitoring efforts, the Corporation identified ineligible and questioned costs, and efforts are underway to recapture ineligible and unsupported costs. The Corporation has put the following policies and procedures in place to mitigate future risk: 1. Biennial Risk Assessment with Annual Updates 2. Annual Project Compliance Report (APCR) required by subrecipient agencies (with the exception of subrecipients receiving only Department of Energy and LIHEAP grants for the Weatherization Assistance Program, which are governed by separate monitoring procedures). 3. Enhanced Draw Monitoring and draw documentation requirements 4. Expansion of the Corporation’s Compliance and Training Team Given the policies, procedures, and changes outlined above, the Corporation feels confident it will be able to comply with its Compliance Monitoring Plan going forward and identify any concerns with subrecipient compliance in a timely manner. Curtis Stauffer, Managing Director, Housing Contract Administration, and applicable compliance staff will implement by October 1, 2024.

View Audit 324253 Questioned Costs: $1

Finding 502056 (2024-001)

Material Weakness 2024

Wyoming Community Development Authority

WY

HUD Housing Programs Material Weakness Reporting

CORRECTIVE ACTION PLAN Finding 2024-001 Name of Contact Person – Tammy Krei, Director of Housing & Neighborhood Development Corrective Action Effective immediately, the Housing & Neighborhood Development (HND) Department will establish controls and procedures to allow for proper reporting and submis...

CORRECTIVE ACTION PLAN Finding 2024-001 Name of Contact Person – Tammy Krei, Director of Housing & Neighborhood Development Corrective Action Effective immediately, the Housing & Neighborhood Development (HND) Department will establish controls and procedures to allow for proper reporting and submission of the required CDBG Annual Formula Grants PR28 Performance and Evaluation (PER) Financial Summary Report. Proposed Completion Date: October 2024

View Audit 324241

Finding 502002 (2024-002)

Material Weakness 2024

High Country Community Health, Inc.

NC

Procurement, Suspension & Debarment

In Finding 2024-002, a condition was noted in which the Organization did not verify that vendors were not suspended, debarred, or otherwise excluded from participating in federal programs before entering into transactions with them. Management recognizes the importance of complying with procuremen...

In Finding 2024-002, a condition was noted in which the Organization did not verify that vendors were not suspended, debarred, or otherwise excluded from participating in federal programs before entering into transactions with them. Management recognizes the importance of complying with procurement, debarment, and suspension guidelines. In response to Finding 2024-002, procedures will be implemented to ensure debarment searches are completed and properly documented.

View Audit 324204

Finding 501990 (2024-002)

Significant Deficiency 2024

Sun Life Family Health Center, Inc.

AZ

Special Tests & Provisions

8/26/2024 Sun Life Family Health Center, Inc. Responsible Party: Samantha Reinhard, Director of Community Outreach, sam.reinhard@slfhc.org Audit Period Ending: May 31, 2024 Finding #2024-002 Statement of Condition - Patients did not receive the proper sliding fee adjustments under the Organization’s...

8/26/2024 Sun Life Family Health Center, Inc. Responsible Party: Samantha Reinhard, Director of Community Outreach, sam.reinhard@slfhc.org Audit Period Ending: May 31, 2024 Finding #2024-002 Statement of Condition - Patients did not receive the proper sliding fee adjustments under the Organization’s policy. Management Plan - The Organization concurs with the finding and management has implemented procedures to ensure that eligible patients receive discounts in accordance with the sliding fee scale. The Director of Community Outreach will ensure review of all new sliding fee applications monthly to ensure data input accuracy. The Director of Revenue Cycle will conduct quarterly audits of sliding fee claims to ensure the adjustments are applied correctly by the billing department. Plan has been implemented during fiscal year 2025.

View Audit 324186

Finding 501986 (2024-002)

Significant Deficiency 2024

Dixon County

NE

Procurement, Suspension & Debarment § 200.214 § 200.303

Program: AL 21.027 - COVID-19- Coronavirus State and Local Fiscal Recovery Funds - Suspension and Debarment Corrective Action Planned: The County will implement procedures to ensure when a contractor is paid with federal funds, sam.gov will be utilized to verify the entity has not been suspended o...

Program: AL 21.027 - COVID-19- Coronavirus State and Local Fiscal Recovery Funds - Suspension and Debarment Corrective Action Planned: The County will implement procedures to ensure when a contractor is paid with federal funds, sam.gov will be utilized to verify the entity has not been suspended or debarred and such procedure will be adequately documented. Anticipated Completion Date: August 16,2024 Responsible Party: Dixon County Board of Supervisors: Don Andersen, Deric Anderson, Roger Peterson, Neil Blolun, Lisa Lunz, Terry Nicholson, and Steve Hassler.

View Audit 324145

Finding 501985 (2024-001)

Significant Deficiency 2024

Mercer County Housing Associates LLC

PA

Questioned Costs Special Tests & Provisions HUD Housing Programs

CORRECTIVE ACTION PLAN September 30, 2024 United States Department of Housing and Urban Development Mercer County Housing Authority respectfully submits the following corrective action plan for the year ended June 30, 2024. Name and address of independent public accounting firm: Maher Duessel, CPA...

CORRECTIVE ACTION PLAN September 30, 2024 United States Department of Housing and Urban Development Mercer County Housing Authority respectfully submits the following corrective action plan for the year ended June 30, 2024. Name and address of independent public accounting firm: Maher Duessel, CPA's 503 Martindale Street, Suite 600 Pittsburgh, PA 15212 Audit period: July 1, 2023 - June 30, 2024 The finding from the June 30, 2024 schedule of findings and questioned costs is discussed below. The finding is numbered consistently with the number assigned in the schedule. FINDINGS— FEDERAL AWARD PROGRAMS AUDITS Finding 2024-001 Section 8 Project-Based Cluster: Project Based Rental Assistance ALN # 14.195 Recommendation: The Company should follow the internal controls in place to ensure the accuracy of the application information entered into the tenant management system in order to ensure correct placement on the waiting list. Action taken: Management agrees with the finding, and as noted, has taken action to address the issue. Additional steps to prevent the issue from reoccurring are as follows: The Receptionist im-puts the applicant information in the system as well date and time stamps the application. When given to the Leasing Agent, she will revery the dates in the system match the application. Two-person verification before the application is filed away.

View Audit 324143 Questioned Costs: $1

Finding 501977 (2024-004)

Material Weakness 2024

Low Rent Housing Agency of Knoxville, Iowa

IA

Cash Management Material Weakness Internal Control / Segregation of Duties

Finding 2024-004 Planned corrective action: The checklist for CFP activity utilized by the Housing Agency was updated last year, but wording was updated this year to reflect the 3-day Treasury Rule. Nan McKay training varies from this rule. The Housing Agency made progress in this area this year, b...

Finding 2024-004 Planned corrective action: The checklist for CFP activity utilized by the Housing Agency was updated last year, but wording was updated this year to reflect the 3-day Treasury Rule. Nan McKay training varies from this rule. The Housing Agency made progress in this area this year, but will use the 3-day Treasury Rule as a guide and closely follow the checklist. Estimated completion date: The HA’s plan is to have this corrected at 2025’s audit. The CFP checklist was updated when the auditor was on-site and staff will closely utilize it.

View Audit 324135

Finding 501976 (2024-003)

Material Weakness 2024

Low Rent Housing Agency of Knoxville, Iowa

IA

Internal Control / Segregation of Duties Special Tests & Provisions Cash Management

Finding 2024-003 Planned corrective action: The Housing Agency has limited funds for additional staff hires. Internal controls will be implemented by building them into what the Board reviews monthly. This will provide additional oversight and aid in elimination of errors. Estimated completion dat...

Finding 2024-003 Planned corrective action: The Housing Agency has limited funds for additional staff hires. Internal controls will be implemented by building them into what the Board reviews monthly. This will provide additional oversight and aid in elimination of errors. Estimated completion date: The HA’s plan is to have this corrected at 2025’s audit. A new checklist of items for monthly Board review will be established within 30 days and followed.

View Audit 324135

Finding 501974 (2024-002)

None 2024

Yw-Wny Housing Development Fund Co., Inc. - Project #014-Ee084

NY

Special Tests & Provisions HUD Housing Programs

Corrective Action Plan (CAP) Name of auditee: YW-WNY Housing Development Fund Company, Inc. d/b/a School House Commons TIN: 014-EE084 Name of Audit Firm: EFPR Group, CPAs, PLLC Period covered by audit: June 30, 2024 CAP prepared by: Henry Rodriguez, Jr. President Corvus Property Intelligence, LLC ,4...

Corrective Action Plan (CAP) Name of auditee: YW-WNY Housing Development Fund Company, Inc. d/b/a School House Commons TIN: 014-EE084 Name of Audit Firm: EFPR Group, CPAs, PLLC Period covered by audit: June 30, 2024 CAP prepared by: Henry Rodriguez, Jr. President Corvus Property Intelligence, LLC ,410) 896-6770 (2) Finding 2024-002 (a) Comments on the finding and recommendation: Management agrees with the finding. Management also agrees with the recommendation, please see below for action taken. (b) Action taken: The Company currently does not have enough operating funds to deposit the underfunded amount of $115,273 into the reserve for replacements account. Management will deposit funds as they become available.

View Audit 324133

Finding 501926 (2024-001)

Significant Deficiency 2024

Chapman University and Affiliates

CA

Student Financial Aid Reporting Matching / Level of Effort / Earmarking

As of September 2024, we will upload our grad outlier report weekly instead of monthly in order to prevent future delays. We will be reviewing the error reports after every submission to the Clearinghouse to resolve the error CE75 issue manually until the Clearinghouse and NSLDS fix error 75 on thei...

As of September 2024, we will upload our grad outlier report weekly instead of monthly in order to prevent future delays. We will be reviewing the error reports after every submission to the Clearinghouse to resolve the error CE75 issue manually until the Clearinghouse and NSLDS fix error 75 on their end, so we will not have to do this manually.

View Audit 324097

Finding 501919 (2024-001)

Significant Deficiency 2024

Mentone Garden Court, Inc. Dba Mentone Garden Court 073-Ee112-Np-Wah

IN

HUD Housing Programs Subrecipient Monitoring

Finding 2024-001: During the year ended June 30, 2024, the rejection letter selected for testing under the compliance supplement was missing necessary documents required by the PRAC and HUD Handbook 4350.3. Comments on the Finding and Each Recommendation: Management should ensure that all rejection...

Finding 2024-001: During the year ended June 30, 2024, the rejection letter selected for testing under the compliance supplement was missing necessary documents required by the PRAC and HUD Handbook 4350.3. Comments on the Finding and Each Recommendation: Management should ensure that all rejection letters are maintained at the site of the Property in accordance with the HUD Handbook 4350.3. Action(s) taken or planned on the finding: Management agrees with the recommendation and will ensure that rejection letters are retained in accordance with the HUD Handbook 4350.3.

View Audit 324083

Finding 501914 (2024-001)

None 2024

Maison D' Amis, Inc.

LA

HUD Housing Programs

MANAGEMENT AGREES WITH THE FINDING. THE FINANCIAL STATEMENTS WERE SUBMITTED TO HUD ON JANUARY 22, 2024.

View Audit 324069

Finding 501913 (2024-001)

None 2024

Vinton Senior Manor Corporation

LA

HUD Housing Programs

MANAGEMENT AGREES WITH THE FINDING. THE FINANCIAL STATEMENTS WERE SUBMITTED TO HUD ON OCTOBER 3, 2023.

View Audit 324068

Corrective Action Plans

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