FAC Explorer

Audit 25254

FY End
2022-06-30
Total Expended
$2.73M
Findings
2
Programs
2
Organization: Harvard Supportive Housing, Inc. (MN)
Year: 2022 Accepted: 2023-03-07
Auditor: Hinrichs & Associates LTD

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
24853 2022-001 - - N
601295 2022-001 - - N

Programs

ALN Program Spent Major Findings
14.181 Section 811 Capital Advance $2.63M Yes 1
14.181 Prac Assistance $94,850 Yes 0

Contacts

Name Title Type
QRTRE6BBNAU6 Les Russo Auditee
8474245601 Bob Baker Auditor
No contacts on file

Notes to SEFA

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. Harvard Supportive Housing, Inc. has elected not to use the 10-percentde 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.

Finding Details

Finding 2022-001
HARVARD SUPPORTIVE HOUSING, INC. HUD PROJECT NO. 071-HD154 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 811, ASSISTANCE LISTING NUMBER 14.181 Condition: The Project failed to comply with the repayment terms of a HUD approved, replacement reserve loan. Criteria: In January 2022, HUD approved a $6,806 loan from the replacement reserve account. The loan was to be repaid when the Project received the February 2022 tenant assistance payment. Upon receipt of the February 2022 tenant assistance payment, the Project failed to pay back the full amount of the loan. Effect: The replacement reserve cash balance was $5,606 less than it should be at June 30, 2022. Context: Activity in the replacement reserve account for the year ended June 30, 2022 was tested. No sample was tested. Questioned costs $5,606 Cause: The Project failed to comply with the repayment terms of the loan. Recommendation: The Project should deposit $5,606 into the replacement reserve account. Views of Responsible Officials and Planned Corrective Actions: The Project agrees with the finding. Management will deposit the $5,606 to the replacement reserve account as soon as possible. Questioned Costs - Department of Housing and Urban Development $5,606 Non-compliance code - N
Finding 2022-001
HARVARD SUPPORTIVE HOUSING, INC. HUD PROJECT NO. 071-HD154 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 811, ASSISTANCE LISTING NUMBER 14.181 Condition: The Project failed to comply with the repayment terms of a HUD approved, replacement reserve loan. Criteria: In January 2022, HUD approved a $6,806 loan from the replacement reserve account. The loan was to be repaid when the Project received the February 2022 tenant assistance payment. Upon receipt of the February 2022 tenant assistance payment, the Project failed to pay back the full amount of the loan. Effect: The replacement reserve cash balance was $5,606 less than it should be at June 30, 2022. Context: Activity in the replacement reserve account for the year ended June 30, 2022 was tested. No sample was tested. Questioned costs $5,606 Cause: The Project failed to comply with the repayment terms of the loan. Recommendation: The Project should deposit $5,606 into the replacement reserve account. Views of Responsible Officials and Planned Corrective Actions: The Project agrees with the finding. Management will deposit the $5,606 to the replacement reserve account as soon as possible. Questioned Costs - Department of Housing and Urban Development $5,606 Non-compliance code - N