Audit 18528

FY End

2022-09-30

Total Expended

$1.04M

Findings

2

Programs

2

Organization: Hands Triad Housing, Inc. (PA)

Year: 2022 Accepted: 2023-01-29

Auditor: McGill Power Bell & Associates

Organization Exclusion Status:

Checking exclusion status...

ID	Ref	Severity	Repeat	Requirement
22498	2022-001	-	-	N
598940	2022-001	-	-	N

ALN	Program	Spent	Major	Findings
14.181	Supportive Housing for Persons with Disabilities	$951,800	Yes	1
14.182	Section 8 New Construction and Substantial Rehabilitation	$86,769	-	0

Contacts

Name	Title	Type
N6CMJHW5DFA8	Matthew Good	Auditee
8144533333	Debbie Lewis	Auditor
No contacts on file

Notes to SEFA

Title: Loan/loan guarantee outstanding balances Accounting Policies: NOTE A BASIS OF PRESENTATIONThe accompanying Schedule of Expenditures of Federal Awards (the Schedule) includes the federal award activity of HANDS Triad Housing, Inc., HUD Project #033-HD013, under programs of the federal government for the year ended September 30, 2022. The information in this Schedule is presented in accordance with the requirements of Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance). Because the Schedule presents only a selected portion of the operations of HANDS Triad Housing, Inc., it is not intended to and does not present the financial position, changes in net assets, or cash flows of HANDS Triad Housing, Inc.NOTE B SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES(1) Expenditures reported on the Schedule are reported on the accrual basis of accounting. Such expenditures are recognized following the cost principles contained in the Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement.(2) HANDS Triad Housing, Inc. has not elected to use the 10 percent de minimis indirect cost rate as allowed under the Uniform Guidance.(3) Balances of loans and loan guarantee programs outstanding at the end of the audit period for loans under 2 CFR Section 200.502(b) are as follows:- HUD Capital Advance Program $951,800 De Minimis Rate Used: N Rate Explanation: The auditee did not use the de minimis cost rate. SUPPORTIVE HOUSING FOR PERSONS WITH DISABILITIES (14.181) - Balances outstanding at the end of the audit period were 951800.

Finding Details

Finding 2022-001

2022-01 ? Supportive Housing for Disabled Persons, ALN #14.181 Statement of Condition: The Project did not remit residual receipts balances in excess of $250 per unit to HUD by the Project Rental Assistance Contract renewal date. Criteria: Pursuant to statutory language from the Consolidated and Further Continuing Appropriations Act, HUD is required to recapture residual receipt balances that are in excess of $250 per unit. The fund must be remitted to HUD upon ?termination? of the Project Rental Assistance Contract. Termination is defined as expiration of the contract term, which for most PRACs falls on contract renewal date. Effect of Condition: This is a violation of the HUD Regulations. Cause of Condition: The procedures in place to ensure the excess residual receipts remittance was made timely were not consistently followed. Recommendation: No action is needed, as the required return of excess residual receipts has already been remitted to HUD. Response: See Corrective Action Plan.

Finding 2022-001

2022-01 ? Supportive Housing for Disabled Persons, ALN #14.181 Statement of Condition: The Project did not remit residual receipts balances in excess of $250 per unit to HUD by the Project Rental Assistance Contract renewal date. Criteria: Pursuant to statutory language from the Consolidated and Further Continuing Appropriations Act, HUD is required to recapture residual receipt balances that are in excess of $250 per unit. The fund must be remitted to HUD upon ?termination? of the Project Rental Assistance Contract. Termination is defined as expiration of the contract term, which for most PRACs falls on contract renewal date. Effect of Condition: This is a violation of the HUD Regulations. Cause of Condition: The procedures in place to ensure the excess residual receipts remittance was made timely were not consistently followed. Recommendation: No action is needed, as the required return of excess residual receipts has already been remitted to HUD. Response: See Corrective Action Plan.