Audit 23253

FY End
2022-12-31
Total Expended
$6.31M
Findings
2
Programs
1
Year: 2022 Accepted: 2023-03-27

Organization Exclusion Status:

Checking exclusion status...

Findings

ID Ref Severity Repeat Requirement
26151 2022-001 Significant Deficiency - C
602593 2022-001 Significant Deficiency - C

Programs

ALN Program Spent Major Findings
14.157 Supportive Housing for the Elderly $533,356 Yes 1

Contacts

Name Title Type
UV88NX633A29 Mary Beth Kopec Auditee
7324303690 Steve Repko Auditor
No contacts on file

Notes to SEFA

Title: Loan/loan guarantee outstanding balances Accounting Policies: 1. Basis of PresentationThe accompanying schedule of expenditures of federal awards (the Schedule) includes the federal grantactivity of The Presbyterian Home at Galloway, Inc. (the Organization) and is presented on the accrualbasis of accounting. The information in the Schedule is presented in accordance with the requirements ofTitle 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principlesand Audit Requirements for Federal Awards (Uniform Guidance). Therefore, some amounts presented inthe Schedule may differ from amounts presented in, or used in the preparation of, the 2022 basic financialstatements.2. Summary of Significant Accounting PoliciesExpenditures reported on the Schedule are reported on the accrual basis of accounting. Suchexpenditures are recognized following, as applicable, either the cost principles in Office of Managementand Budget Circular A-122, Cost Principles for Nonprofit Organizations, or the cost principles containedin the Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as toreimbursement. Negative amounts shown on the Schedule represent adjustments or credits made inthe normal course of business to amounts reported as expenditures in prior years. De Minimis Rate Used: N Rate Explanation: The auditee did not use the de minimis cost rate. SUPPORTIVE HOUSING FOR THE ELDERLY (14.157) - Balances outstanding at the end of the audit period were 5773700.
Title: U.S. Department of Housing and Urban Development (HUD) Capital Advance Accounting Policies: 1. Basis of PresentationThe accompanying schedule of expenditures of federal awards (the Schedule) includes the federal grantactivity of The Presbyterian Home at Galloway, Inc. (the Organization) and is presented on the accrualbasis of accounting. The information in the Schedule is presented in accordance with the requirements ofTitle 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principlesand Audit Requirements for Federal Awards (Uniform Guidance). Therefore, some amounts presented inthe Schedule may differ from amounts presented in, or used in the preparation of, the 2022 basic financialstatements.2. Summary of Significant Accounting PoliciesExpenditures reported on the Schedule are reported on the accrual basis of accounting. Suchexpenditures are recognized following, as applicable, either the cost principles in Office of Managementand Budget Circular A-122, Cost Principles for Nonprofit Organizations, or the cost principles containedin the Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as toreimbursement. Negative amounts shown on the Schedule represent adjustments or credits made inthe normal course of business to amounts reported as expenditures in prior years. De Minimis Rate Used: N Rate Explanation: The auditee did not use the de minimis cost rate. The Organization has received a HUD Capital Advance under Section 202 of the National HousingAct (Capital Advances). All Capital Advances made to the Organization are included in the federalexpenditures presented in the Schedule. The capital advance balance at the beginning of the year isincluded in the federal expenditures presented in the Schedule. This is also the balance at December 31,2022. The Organization received no additional Capital Advances during the year ended December 31,2022. The Organization received $533,356 in project rental assistance payments under a Project RentalAssistance Contract under the same Assistance Listing Number (14.157), which is separately presentedon the Schedule.

Finding Details

Finding 2022-001 - Tenant Security Deposit Refund Requirement CFDA Number: 14.157 Federal Agency: U.S. Department of Housing and Urban Development Federal Award Number: Not applicable Federal Award Year: January 1, 2022 - December 31, 2022 Pass-Through Entity: Not applicable Condition and Criteria: The Organization is required to remit security deposits to former tenants within 30 days from the move-out date. Cause: The Organization's processing of refund paperwork was not completed timely. Effect: Two of the five tenant files reviewed included documentation that showed the processing of the refund occurred after the standard 30 day period. Questioned Costs: No questioned costs were identified. Recommendation: The Organization should have procedures in place to ensure that annual tenant refunds are completed timely. Views of Responsible Officials: Management agrees with the finding.
Finding 2022-001 - Tenant Security Deposit Refund Requirement CFDA Number: 14.157 Federal Agency: U.S. Department of Housing and Urban Development Federal Award Number: Not applicable Federal Award Year: January 1, 2022 - December 31, 2022 Pass-Through Entity: Not applicable Condition and Criteria: The Organization is required to remit security deposits to former tenants within 30 days from the move-out date. Cause: The Organization's processing of refund paperwork was not completed timely. Effect: Two of the five tenant files reviewed included documentation that showed the processing of the refund occurred after the standard 30 day period. Questioned Costs: No questioned costs were identified. Recommendation: The Organization should have procedures in place to ensure that annual tenant refunds are completed timely. Views of Responsible Officials: Management agrees with the finding.