FAC Explorer

Audit 2808

FY End
2023-06-30
Total Expended
$5.69M
Findings
4
Programs
2
Organization: Mission Housing Developmnet Property Iv, Inc. (CA)
Year: 2023 Accepted: 2023-11-09
Auditor: Snd Partners LLP

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
1567 2023-001 - Yes N
1568 2023-001 - Yes N
578009 2023-001 - Yes N
578010 2023-001 - Yes N

Programs

ALN Program Spent Major Findings
14.218 Community Development Block Grants/entitlement Grants $978,000 - 0
14.157 Supportive Housing for the Elderly $202,858 Yes 1

Contacts

Name Title Type
DG3JAJNA2NU3 Sam Moss Auditee
4158646432 Annette Spiteri Auditor
No contacts on file

Notes to SEFA

Title: NOTE A - BASIS OF PRESENTATION Accounting Policies: The accompanying schedule of expenditures of federal awards includes the federal award activity of Mission Housing Development Property IV, Inc., HUD Project No. 121-EE031-NP, and is presented on the accrual basis of accounting. The information in this schedule is presented in accordance with the requirements of Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance). Because the Schedule presents only a selected portion of the operations of Mission Housing Development Property IV, Inc., it is not intended to and does not present the financial position, changes in net assets, or cash flows of Mission Housing Development Property IV, Inc. De Minimis Rate Used: N Rate Explanation: Mission Housing Development Property IV, Inc. has elected not to use the 10-percent de minimis indirect cost rate allowed under the Uniform Guidance. The accompanying schedule of expenditures of federal awards includes the federal award activity of Mission Housing Development Property IV, Inc., HUD Project No. 121-EE031-NP, and is presented on the accrual basis of accounting. The information in this schedule is presented in accordance with the requirements of Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance). Because the Schedule presents only a selected portion of the operations of Mission Housing Development Property IV, Inc., it is not intended to and does not present the financial position, changes in net assets, or cash flows of Mission Housing Development Property IV, Inc.
Title: NOTE B - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Accounting Policies: The accompanying schedule of expenditures of federal awards includes the federal award activity of Mission Housing Development Property IV, Inc., HUD Project No. 121-EE031-NP, and is presented on the accrual basis of accounting. The information in this schedule is presented in accordance with the requirements of Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance). Because the Schedule presents only a selected portion of the operations of Mission Housing Development Property IV, Inc., it is not intended to and does not present the financial position, changes in net assets, or cash flows of Mission Housing Development Property IV, Inc. De Minimis Rate Used: N Rate Explanation: Mission Housing Development Property IV, Inc. has elected not to use the 10-percent de minimis indirect cost rate allowed under the Uniform Guidance. Expenditures reported on the Schedule are reported on the accrual basis of accounting. Such expenditures are recognized following the cost principals contained in the Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement. Mission Housing Development Property IV, Inc. has elected not to use the 10-percent de minimis indirect cost rate allowed under the Uniform Guidance.
Title: NOTE C – LOAN PROGRAM BALANCES OUTSTANDING Accounting Policies: The accompanying schedule of expenditures of federal awards includes the federal award activity of Mission Housing Development Property IV, Inc., HUD Project No. 121-EE031-NP, and is presented on the accrual basis of accounting. The information in this schedule is presented in accordance with the requirements of Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance). Because the Schedule presents only a selected portion of the operations of Mission Housing Development Property IV, Inc., it is not intended to and does not present the financial position, changes in net assets, or cash flows of Mission Housing Development Property IV, Inc. De Minimis Rate Used: N Rate Explanation: Mission Housing Development Property IV, Inc. has elected not to use the 10-percent de minimis indirect cost rate allowed under the Uniform Guidance. Loan balances outstanding as of June 30, 2023 are as follows: Supportive Housing for the Elderly Capital Advance Mortgage $4,508,500 Community Development Block Grant Program Loan $ 978,000

Finding Details

Finding 2023-001
Finding # 2023-001 Federal Grantor: U.S. Department of Housing and Urban Development AL# / Program : 14.157- Supportive Housing for the Elderly Type of Finding: Federal Award Finding Finding Resolution Status: In Process Information on Universe Population Size: Project is required to make monthly deposits to the reserve for replacements of $2,198. Sample size: Tests were performed on the twelve required monthly deposits. Criteria: Project is required to make monthly deposits in the amount of $2,198 to the reserve for replacement as required by HUD. Statement of Condition: Reserve for replacement is underfunded by $26,376.00 Cause: Project did not make payments due to cash flow issues. Effect or Potential Effect: Project is not in compliance with HUD compliance requirements. Auditor Non-Compliance Code: N - Replacement Reserve Deposits Questioned Costs: $- Reporting Views of Responsible Officials: Replacement reserve deposit waiver requested but denied. Context: N/A Recommendation: We recommend the Project make the required deposit to the reserve for replacement account or request HUD approval to waive deposits until cashflow improves. Auditor's Summary of the Auditee's Comments on the Findings and Recommendations: Replacement reserve deposit waiver requested but denied. Response Indicator: Agrees Completion Date: 6/30/2023 Response: Replacement reserve deposit waiver requested but denied. Finding # 2023-001 Federal Grantor: U.S. Department of Housing and Urban Development AL# / Program : 14.157- Supportive Housing for the Elderly Type of Finding: Federal Award Finding Finding Resolution Status: In Process Information on Universe Population Size: Project is required to make monthly deposits to the reserve for replacements of $2,198. Sample size: Tests were performed on the twelve required monthly deposits. Criteria: Project is required to make monthly deposits in the amount of $2,198 to the reserve for replacement as required by HUD. Statement of Condition: Reserve for replacement is underfunded by $26,376.00 Cause: Project did not make payments due to cash flow issues. Effect or Potential Effect: Project is not in compliance with HUD compliance requirements. Auditor Non-Compliance Code: N - Replacement Reserve Deposits Questioned Costs: $- Reporting Views of Responsible Officials: Replacement reserve deposit waiver requested but denied. Context: N/A Recommendation: We recommend the Project make the required deposit to the reserve for replacement account or request HUD approval to waive deposits until cashflow improves. Auditor's Summary of the Auditee's Comments on the Findings and Recommendations: Replacement reserve deposit waiver requested but denied. Response Indicator: Agrees Completion Date: 6/30/2023 Response: Replacement reserve deposit waiver requested but denied.
Finding 2023-001
Finding # 2023-001 Federal Grantor: U.S. Department of Housing and Urban Development AL# / Program : 14.157- Supportive Housing for the Elderly Type of Finding: Federal Award Finding Finding Resolution Status: In Process Information on Universe Population Size: Project is required to make monthly deposits to the reserve for replacements of $2,198. Sample size: Tests were performed on the twelve required monthly deposits. Criteria: Project is required to make monthly deposits in the amount of $2,198 to the reserve for replacement as required by HUD. Statement of Condition: Reserve for replacement is underfunded by $26,376.00 Cause: Project did not make payments due to cash flow issues. Effect or Potential Effect: Project is not in compliance with HUD compliance requirements. Auditor Non-Compliance Code: N - Replacement Reserve Deposits Questioned Costs: $- Reporting Views of Responsible Officials: Replacement reserve deposit waiver requested but denied. Context: N/A Recommendation: We recommend the Project make the required deposit to the reserve for replacement account or request HUD approval to waive deposits until cashflow improves. Auditor's Summary of the Auditee's Comments on the Findings and Recommendations: Replacement reserve deposit waiver requested but denied. Response Indicator: Agrees Completion Date: 6/30/2023 Response: Replacement reserve deposit waiver requested but denied. Finding # 2023-001 Federal Grantor: U.S. Department of Housing and Urban Development AL# / Program : 14.157- Supportive Housing for the Elderly Type of Finding: Federal Award Finding Finding Resolution Status: In Process Information on Universe Population Size: Project is required to make monthly deposits to the reserve for replacements of $2,198. Sample size: Tests were performed on the twelve required monthly deposits. Criteria: Project is required to make monthly deposits in the amount of $2,198 to the reserve for replacement as required by HUD. Statement of Condition: Reserve for replacement is underfunded by $26,376.00 Cause: Project did not make payments due to cash flow issues. Effect or Potential Effect: Project is not in compliance with HUD compliance requirements. Auditor Non-Compliance Code: N - Replacement Reserve Deposits Questioned Costs: $- Reporting Views of Responsible Officials: Replacement reserve deposit waiver requested but denied. Context: N/A Recommendation: We recommend the Project make the required deposit to the reserve for replacement account or request HUD approval to waive deposits until cashflow improves. Auditor's Summary of the Auditee's Comments on the Findings and Recommendations: Replacement reserve deposit waiver requested but denied. Response Indicator: Agrees Completion Date: 6/30/2023 Response: Replacement reserve deposit waiver requested but denied.
Finding 2023-001
Finding # 2023-001 Federal Grantor: U.S. Department of Housing and Urban Development AL# / Program : 14.157- Supportive Housing for the Elderly Type of Finding: Federal Award Finding Finding Resolution Status: In Process Information on Universe Population Size: Project is required to make monthly deposits to the reserve for replacements of $2,198. Sample size: Tests were performed on the twelve required monthly deposits. Criteria: Project is required to make monthly deposits in the amount of $2,198 to the reserve for replacement as required by HUD. Statement of Condition: Reserve for replacement is underfunded by $26,376.00 Cause: Project did not make payments due to cash flow issues. Effect or Potential Effect: Project is not in compliance with HUD compliance requirements. Auditor Non-Compliance Code: N - Replacement Reserve Deposits Questioned Costs: $- Reporting Views of Responsible Officials: Replacement reserve deposit waiver requested but denied. Context: N/A Recommendation: We recommend the Project make the required deposit to the reserve for replacement account or request HUD approval to waive deposits until cashflow improves. Auditor's Summary of the Auditee's Comments on the Findings and Recommendations: Replacement reserve deposit waiver requested but denied. Response Indicator: Agrees Completion Date: 6/30/2023 Response: Replacement reserve deposit waiver requested but denied. Finding # 2023-001 Federal Grantor: U.S. Department of Housing and Urban Development AL# / Program : 14.157- Supportive Housing for the Elderly Type of Finding: Federal Award Finding Finding Resolution Status: In Process Information on Universe Population Size: Project is required to make monthly deposits to the reserve for replacements of $2,198. Sample size: Tests were performed on the twelve required monthly deposits. Criteria: Project is required to make monthly deposits in the amount of $2,198 to the reserve for replacement as required by HUD. Statement of Condition: Reserve for replacement is underfunded by $26,376.00 Cause: Project did not make payments due to cash flow issues. Effect or Potential Effect: Project is not in compliance with HUD compliance requirements. Auditor Non-Compliance Code: N - Replacement Reserve Deposits Questioned Costs: $- Reporting Views of Responsible Officials: Replacement reserve deposit waiver requested but denied. Context: N/A Recommendation: We recommend the Project make the required deposit to the reserve for replacement account or request HUD approval to waive deposits until cashflow improves. Auditor's Summary of the Auditee's Comments on the Findings and Recommendations: Replacement reserve deposit waiver requested but denied. Response Indicator: Agrees Completion Date: 6/30/2023 Response: Replacement reserve deposit waiver requested but denied.
Finding 2023-001
Finding # 2023-001 Federal Grantor: U.S. Department of Housing and Urban Development AL# / Program : 14.157- Supportive Housing for the Elderly Type of Finding: Federal Award Finding Finding Resolution Status: In Process Information on Universe Population Size: Project is required to make monthly deposits to the reserve for replacements of $2,198. Sample size: Tests were performed on the twelve required monthly deposits. Criteria: Project is required to make monthly deposits in the amount of $2,198 to the reserve for replacement as required by HUD. Statement of Condition: Reserve for replacement is underfunded by $26,376.00 Cause: Project did not make payments due to cash flow issues. Effect or Potential Effect: Project is not in compliance with HUD compliance requirements. Auditor Non-Compliance Code: N - Replacement Reserve Deposits Questioned Costs: $- Reporting Views of Responsible Officials: Replacement reserve deposit waiver requested but denied. Context: N/A Recommendation: We recommend the Project make the required deposit to the reserve for replacement account or request HUD approval to waive deposits until cashflow improves. Auditor's Summary of the Auditee's Comments on the Findings and Recommendations: Replacement reserve deposit waiver requested but denied. Response Indicator: Agrees Completion Date: 6/30/2023 Response: Replacement reserve deposit waiver requested but denied. Finding # 2023-001 Federal Grantor: U.S. Department of Housing and Urban Development AL# / Program : 14.157- Supportive Housing for the Elderly Type of Finding: Federal Award Finding Finding Resolution Status: In Process Information on Universe Population Size: Project is required to make monthly deposits to the reserve for replacements of $2,198. Sample size: Tests were performed on the twelve required monthly deposits. Criteria: Project is required to make monthly deposits in the amount of $2,198 to the reserve for replacement as required by HUD. Statement of Condition: Reserve for replacement is underfunded by $26,376.00 Cause: Project did not make payments due to cash flow issues. Effect or Potential Effect: Project is not in compliance with HUD compliance requirements. Auditor Non-Compliance Code: N - Replacement Reserve Deposits Questioned Costs: $- Reporting Views of Responsible Officials: Replacement reserve deposit waiver requested but denied. Context: N/A Recommendation: We recommend the Project make the required deposit to the reserve for replacement account or request HUD approval to waive deposits until cashflow improves. Auditor's Summary of the Auditee's Comments on the Findings and Recommendations: Replacement reserve deposit waiver requested but denied. Response Indicator: Agrees Completion Date: 6/30/2023 Response: Replacement reserve deposit waiver requested but denied.