The Meadows Mental Health Policy Institute for Texas (the Institute) respectfully submits the following corrective action plan for the year ended December 31, 2023.
Audit period: 01/01/2023 – 12/31/2023
The findings from the Schedule of Findings and Questioned Costs identified in the December 05, 2024, audit report are discussed below. Findings are numbered consistently with the numbers assigned in the schedule.
Findings – Federal Awards Audit
Significant Deficiency
Federal Awards Program Audit Findings and Recommendations
Finding 2023-001: Reporting – significant deficiency in internal control over compliance and compliance finding.
All federal grants.
Criteria: Grantees who are subject to single audit requirements are required to submit their Data Collection form to the Federal Audit Clearinghouse within the earlier of 30 calendar days after receipt of the auditors’ report or 9 months after the audit period.
Condition: The Institute’s Data Collection form was late for the years ended December 31, 2022, and 2023.
Cause: Delays in completing the audits resulted in the Data Collection forms being submitted after 9 months from the end of the audit report.
Effect: The Institute was not in compliance with single audit reporting requirements.
Recommendation: Internal controls and processes should be implemented to ensure audits are completed in a timely manner to meet federal reporting deadlines.
Institute Action Plan:
• Hire new finance and accounting senior management [completed November 2024].
o Hired new CFO (October 2024; started January 02, 2025)
o Hired new Controller (November 2024; starts February 17, 2025) Establish timeline for review and acceptance of 2024 audit [initiated December 2024].
o By May 01, 2025: Institute submits 2024 General Ledger and Trial Balance to auditor
o May 01, 2025 – May 11, 2025: Auditor sends sample and other requests for information
o May 12, 2025 – May 23, 2025: Audit fieldwork
o Week of July 07, 2025: Auditor sends draft audit report to Institute management for review.
o Week of July 21, 2025: Institute management reviews draft audit report and notes areas needing clarification and/or corrections.
o By Week of August 11, 2025: Auditor provides a final revised audit report to Institute management.
o Week of August 18, 2025: Institute management sends audit report to the Institute Board’s Audit and Finance Committee for review.
o By week of September 1, 2025: The Audit and Finance Committee meets to review and accept final audit report on behalf of the Board.
o By September 15, 2025: Data Collection Form is submitted to the Federal Audit Clearinghouse (i.e., well in advance of the September 30, 2025, submission due date for the Data Collection Form).
o October 29, 2025: The Institute Board ratifies the Audit and Finance Committee’s acceptance of final audit report.
• Q1-Q2 2025: Perform gap analysis evaluation of existing Accounting staff and address any gaps in coverage and provide access to and training on financial systems and historical data archives [initiated and ongoing].
Corrective Action Contact Person(s): Maryana Geller, Chief Financial and Administrative Officer
Planned Completion Date for Corrective Action Plan: September 15, 2025