Environmental Quality Incentives Program – Assistance Listing No. 10.912 Recommendation: We recommend the Organization implement a formal control where someone other than the preparer documents their review of the risk assessment and monitoring documentation. The review should be supported by documenting the signature and date prior to the subrecipient contract start date. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: Status of corrective action: This is a new finding for 2025. Formal subrecipient monitoring procedures were implemented in August 2026, and retrospective documentation was completed for existing subrecipients. Risk assessment: A risk assessment is completed when each subaward is established and determines the level of monitoring. Someone other than the preparer signs and dates the review before the contract start date. Risk is reassessed if circumstances change. Monitoring: Ongoing monitoring is documented on the SM-03 Subrecipient Monitoring Checklist, which is reviewed, signed, and dated by someone other than the preparer. Existing invoice approvals serve as evidence of invoice review. Annual review: Each year, the SM-04 Annual Single Audit & Compliance Review documents whether each active federal subrecipient requires a Single Audit, any relevant findings, and whether further action is needed. Name(s) of the contact person(s) responsible for corrective action: Lori Hall, Grants Manager Planned completion date for corrective action plan: Implemented August 2026