FAC Explorer

Audit 22894

FY End
2022-12-31
Total Expended
$2.03M
Findings
4
Programs
2
Organization: Block Island Ecnmc Dev Fndtn Hsng CORP Dba E. Searles Ball Memorial (CT)
Year: 2022 Accepted: 2023-10-01
Auditor: Hoyt Filippetti & Malaghan LLC

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
26312 2022-001 - - P
26313 2022-001 - - P
602754 2022-001 - - P
602755 2022-001 - - P

Programs

ALN Program Spent Major Findings
10.427 Rural Rental Assistance Payments $147,022 - 0
10.415 Rural Rental Housing Loans $120,716 Yes 1

Contacts

Name Title Type
ZUKCFJZUHEB5 Matthew Scibek Auditee
8603985425 Paul Filippetti Auditor
No contacts on file

Notes to SEFA

Title: Loan/loan guarantee outstanding balances Accounting Policies: NOTE A - ACCOUNTING BASISBASIC FINANCIAL STATEMENTSThe accounting policies of the Block Island Economic Development Foundation HousingCorporation d/b/a E. Searles Ball Memorial Housing conform to accounting principlesgenerally accepted in the United States of America as applicable to nonprofit organizations.SCHEDULE OF EXPENDITURES OF FEDERAL AWARDSThe accompanying schedule of expenditures of federal awards has been prepared on theaccrual basis consistent with the preparation of the basic financial statements. Informationincluded in the schedule of expenditures of federal awards is presented in accordance with therequirements of Title 2 U.S. Code of Federal Regulations Part 200, Uniform AdministrativeRequirements, Cost Principles, and Audit Requirements for Federal Awards (UniformGuidance).For cost reimbursement awards, revenues are recognized to the extent of expenditures.Expenditures have been recognized to the extent the related obligation was incurred withinthe applicable grant period and liquidated within 90 days after the end of the grant period.For performance-based awards, revenues are recognized to the extent of performanceachieved during the grant period.Block Island Economic Development Foundation Housing Corporation d/b/a E. Searles BallMemorial Housing has not elected to use the 10% de Minimis indirect cost rate.The December 31, 2022 balances of the U.S. Department of Agriculture loans included in theaccompanying schedule of expenditures of federal awards totals $1,729,708. De Minimis Rate Used: N Rate Explanation: The auditee did not use the de minimis cost rate. RURAL RENTAL HOUSING LOANS (10.415) - Balances outstanding at the end of the audit period were 1729708.

Finding Details

Finding 2022-001
OTHER MATTERS 2022-001 RESERVE ACCOUNT FUNDING Criteria: The Project?s reserve account must be fully funded and maintained in a separate bank account. Condition: During our audit testing, we noted that while the Project maintained a separate bank account for reserves, it was not fully funded. Cause: Yearly budgeted transfers were not made to ensure the account is fully funded. Effect: Reserve bank account is underfunded. Questioned Costs: None noted. Recommendation: The Project should implement controls to ensure that the reserve bank account is fully funded. Management?s Views and Corrective Action Plan: Management will correct this when sufficient funds are able to be transferred into the reserve account.
Finding 2022-001
OTHER MATTERS 2022-001 RESERVE ACCOUNT FUNDING Criteria: The Project?s reserve account must be fully funded and maintained in a separate bank account. Condition: During our audit testing, we noted that while the Project maintained a separate bank account for reserves, it was not fully funded. Cause: Yearly budgeted transfers were not made to ensure the account is fully funded. Effect: Reserve bank account is underfunded. Questioned Costs: None noted. Recommendation: The Project should implement controls to ensure that the reserve bank account is fully funded. Management?s Views and Corrective Action Plan: Management will correct this when sufficient funds are able to be transferred into the reserve account.
Finding 2022-001
OTHER MATTERS 2022-001 RESERVE ACCOUNT FUNDING Criteria: The Project?s reserve account must be fully funded and maintained in a separate bank account. Condition: During our audit testing, we noted that while the Project maintained a separate bank account for reserves, it was not fully funded. Cause: Yearly budgeted transfers were not made to ensure the account is fully funded. Effect: Reserve bank account is underfunded. Questioned Costs: None noted. Recommendation: The Project should implement controls to ensure that the reserve bank account is fully funded. Management?s Views and Corrective Action Plan: Management will correct this when sufficient funds are able to be transferred into the reserve account.
Finding 2022-001
OTHER MATTERS 2022-001 RESERVE ACCOUNT FUNDING Criteria: The Project?s reserve account must be fully funded and maintained in a separate bank account. Condition: During our audit testing, we noted that while the Project maintained a separate bank account for reserves, it was not fully funded. Cause: Yearly budgeted transfers were not made to ensure the account is fully funded. Effect: Reserve bank account is underfunded. Questioned Costs: None noted. Recommendation: The Project should implement controls to ensure that the reserve bank account is fully funded. Management?s Views and Corrective Action Plan: Management will correct this when sufficient funds are able to be transferred into the reserve account.