FAC Explorer

Audit 20114

FY End
2022-06-30
Total Expended
$2.53M
Findings
2
Programs
2
Organization: Twin Ports Accessibility Project, Inc. (MN)
Year: 2022 Accepted: 2023-02-28
Auditor: Hinrichs & Associates LTD

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
21813 2022-001 - - B
598255 2022-001 - - B

Programs

ALN Program Spent Major Findings
14.155 Section 223(f) Insured Mortgage $2.13M Yes 1
14.155 Prac Assistance $403,864 Yes 0

Contacts

Name Title Type
PDUBHJ7CL411 Chuck Reuter Auditee
6516457271 Bob Baker Auditor
No contacts on file

Notes to SEFA

Title: Loan/loan guarantee outstanding balances Accounting Policies: NOTE B SUMMARY OF SIGNIFICANT ACCOUNTING POLICIESExpenditures 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. Twin Ports Accessibility Project, Inc. has elected not to use the 10-percent de minimis indirect cost rate allowed under the Uniform Guidance. De Minimis Rate Used: N Rate Explanation: The auditee did not use the de minimis cost rate. SECTION 223(F) INSURED MORTGAGE (14.155) - Balances outstanding at the end of the audit period were 2073189.

Finding Details

Finding 2022-001
TWIN PORTS ACCESSIBILITY PROJECT, INC. HUD PROJECT NO. 092-11251 SCHEDULE OF FINDINGS AND QUESTIONED COSTS (CONTINUED) YEAR ENDED JUNE 30, 2022 C. Findings and Questioned Costs-Major Federal Award Programs Audit Questioned Costs DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT FINDING 2022-001: SECTION 223(f), ASSISTANCE LISTING NUMBER 14.155 Condition: The Project overpaid management fees to the management company. Criteria: The management company should calculate management fees using the correct formula. Effect: The Project's management fee expense is overstated. Context: The management fee for the year was tested for accuracy. The test determined that the management fee percentage for the year needed to be revised. The details and results of the sample are as follows: Number Dollars Population 1 $36,777 Sample 1 36,777 Not in Compliance 1 36,777 Questioned Costs $271 Cause: The management company did not compute the management fee correctly. Recommendation: The management company should repay the $271 to the Project. Views of Responsible Officials and Planned Corrective Actions: The Project agrees with the finding. The management company will repay the overpaid management fees as soon as possible. Questioned Costs - Department of Housing and Urban Development $271 Non-compliance code - J
Finding 2022-001
TWIN PORTS ACCESSIBILITY PROJECT, INC. HUD PROJECT NO. 092-11251 SCHEDULE OF FINDINGS AND QUESTIONED COSTS (CONTINUED) YEAR ENDED JUNE 30, 2022 C. Findings and Questioned Costs-Major Federal Award Programs Audit Questioned Costs DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT FINDING 2022-001: SECTION 223(f), ASSISTANCE LISTING NUMBER 14.155 Condition: The Project overpaid management fees to the management company. Criteria: The management company should calculate management fees using the correct formula. Effect: The Project's management fee expense is overstated. Context: The management fee for the year was tested for accuracy. The test determined that the management fee percentage for the year needed to be revised. The details and results of the sample are as follows: Number Dollars Population 1 $36,777 Sample 1 36,777 Not in Compliance 1 36,777 Questioned Costs $271 Cause: The management company did not compute the management fee correctly. Recommendation: The management company should repay the $271 to the Project. Views of Responsible Officials and Planned Corrective Actions: The Project agrees with the finding. The management company will repay the overpaid management fees as soon as possible. Questioned Costs - Department of Housing and Urban Development $271 Non-compliance code - J