FAC Explorer

Audit 21503

FY End
2022-09-30
Total Expended
$2.40M
Findings
2
Programs
3
Organization: Muskegon Housing Commission (MI)
Year: 2022 Accepted: 2023-07-24
Auditor: Zenk & Associates PC

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
22690 2022-001 - Yes E
599132 2022-001 - Yes E

Programs

ALN Program Spent Major Findings
14.871 Section 8 Housing Choice Vouchers $1.30M Yes 1
14.850 Public and Indian Housing $569,143 - 0
14.872 Public Housing Capital Fund $530,994 - 0

Contacts

Name Title Type
UM7ETTAPNCR9 Angela Mayeaux Auditee
2317222647 Andrew T Zenk Auditor
No contacts on file

Notes to SEFA

Accounting Policies: NOTE 1 - BASIS OF PRESENTATIONThe accompanying Schedule of Federal Awards (the Schedule) includes the federal grant of the Muskegon Housing Commission under programs of the federal government for the year ended September 30, 2022. The information in the schedule is presented in accordance with the requirements of Title 2 U.S. Code of Federal Regulations (CFR) Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Award. Because the schedule presents only a selected portion of the operations of the Muskegon Housing Commission, it is not intended to and does not present the financial position or change in net position of the Muskegon Housing Commission.NOTE 2 - SIGNIFICANT ACCOUNTING POLICIESExpenditures reported on the Schedule are reported on the accrual basis of accounting. Such expenditures are recognized following cost principles contained in in the Uniform Guidance, wherein certain types of expenditures are not allowed or are limited as to reimbursement. De Minimis Rate Used: N Rate Explanation: The auditee did not use the de minimis cost rate.NOTE 3 - INDIRECT COST RATEThe Commission has elected not to use the 10% De Minimis Indirect Cost Rate allowed under the Uniform Guidance.

Finding Details

Finding 2022-001
Finding Reference Number 2022-1 Program Name - CFDA# 14.871 - Section 8 Housing Choice Vouchers Program Finding Type - Noncompliance; Missing Information Criteria - It was noted in our review of Section 8 Housing Choice Vouchers Program tenants files that during recertification some of the required information was missing. Condition - The Commission did not ensure that all required information was completed and received and recertification were timely performed. Questioned Costs - Unknown Cause/Effect - The Commission did not ensure that required information was complete for Section 8 Housing Choice Vouchers Program tenants. As a result, there was a breakdown of internal controls over the compliance of recertification of tenants. Recommendations - We recommend adequate controls over the completing of recertification of Section 8 Housing Choice Vouchers Program tenants to ensure compliance with the program. Auditee Response - The Commission will review their internal control policies for compliance with Section 8 Housing Choice Vouchers Program tenant recertification process. Management's Response - The Commission will review their internal control policies for compliance with Section 8 Housing Choice Vouchers Program tenant recertification process and the required documentation in timely manner. Action Plan - The Commission's management will review the program and determine which required documentation should be completed and received in the Section 8 Housing Choice Vouchers Program.
Finding 2022-001
Finding Reference Number 2022-1 Program Name - CFDA# 14.871 - Section 8 Housing Choice Vouchers Program Finding Type - Noncompliance; Missing Information Criteria - It was noted in our review of Section 8 Housing Choice Vouchers Program tenants files that during recertification some of the required information was missing. Condition - The Commission did not ensure that all required information was completed and received and recertification were timely performed. Questioned Costs - Unknown Cause/Effect - The Commission did not ensure that required information was complete for Section 8 Housing Choice Vouchers Program tenants. As a result, there was a breakdown of internal controls over the compliance of recertification of tenants. Recommendations - We recommend adequate controls over the completing of recertification of Section 8 Housing Choice Vouchers Program tenants to ensure compliance with the program. Auditee Response - The Commission will review their internal control policies for compliance with Section 8 Housing Choice Vouchers Program tenant recertification process. Management's Response - The Commission will review their internal control policies for compliance with Section 8 Housing Choice Vouchers Program tenant recertification process and the required documentation in timely manner. Action Plan - The Commission's management will review the program and determine which required documentation should be completed and received in the Section 8 Housing Choice Vouchers Program.