FAC Explorer

Audit 2858

FY End
2023-03-31
Total Expended
$2.62M
Findings
8
Programs
1
Organization: Belmont Elderly Housing, Inc. (NH)
Year: 2023 Accepted: 2023-11-10
Auditor: Leone McDonnell & Roberts P A

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
1612 2023-001 - - E
1613 2023-002 Significant Deficiency - P
1614 2023-001 - - E
1615 2023-002 Significant Deficiency - P
578054 2023-001 - - E
578055 2023-002 Significant Deficiency - P
578056 2023-001 - - E
578057 2023-002 Significant Deficiency - P

Programs

ALN Program Spent Major Findings
14.157 Supportive Housing for the Elderly $2.35M Yes 2

Contacts

Name Title Type
EXWHSMMQS391 Jill Lesmerises Auditee
6032253295 Shauna Brown Auditor
No contacts on file

Notes to SEFA

Title: NOTE C: U.S. DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT LOAN PROGRAM Accounting Policies: NOTE A: BASIS OF PRESENTATION: The accompanying schedule of expenditures of federal awards includes the federal award activity of Belmont Elderly Housing, Inc., HUD Project No. 024-EE011, 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 Belmont Elderly Housing, Inc., it is not intended to and does not present the financial position, changes in net assets, or cash flows of Belmont Elderly Housing, Inc. NOTE B: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES: Expenditures 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. De Minimis Rate Used: N Rate Explanation: Belmont Elderly Housing, Inc. has elected not to use the 10 percent de minim is indirect cost rate as allowed under the Uniform Guidance. Belmont Elderly Housing, Inc. has received a U.S. Department of Housing and Urban Development capital advance under Section 202 of the National Housing Act. The loan balance outstanding at the beginning of the year is included in the federal expenditures presented in the Schedule. Belmont Elderly Housing, Inc. received no additional loans during the year. The balance of the loan outstanding at March 31, 2023 consists of: Outstanding Balance at AL Number Program Name March 31, 2023 14.157 Section 202 Capital Advance $2,347,500

Finding Details

Finding 2023-001
Information on universe: Total population was 46 units. Sample Size: 5 files were selected for testing. Condition: Missing required documentation in the tenant files. Criteria: HUD requires a copy of the HUD-50059-A reflecting any change in the tenant rent, utility reimbursement, total tenant payment or assistance payment must be placed in the tenant file. Effect: Copy of the HUD-50059-A reflecting the gross rent increase was not present in the tenant files. Context: Auditor reviewed tenant files noting the form was not present in the tenant files. Cause: Lack of oversight by management agent. Recommendation: A procedure be implemented to ensure that the Project remains in compliance and does an internal review to ensure all required documentation is in the tenant files.
Finding 2023-002
Information on universe/sample size: It was noted during testing that some of the HUD form certifiers were not updated in a timely manner. Condition: HUD forms must be certified by an authorized user. Criteria: The certifier for HUD forms should be a current employee with oversight in the area the form pertains to. Effect: The forms were not certified by the correct individual. Context: Auditor reviewed source documents noting incorrect certifier. Cause: Lack of oversight by management agent. Recommendation: A procedure be implemented to ensure that the Project timely changes the certifier on forms when applicable.
Finding 2023-001
Information on universe: Total population was 46 units. Sample Size: 5 files were selected for testing. Condition: Missing required documentation in the tenant files. Criteria: HUD requires a copy of the HUD-50059-A reflecting any change in the tenant rent, utility reimbursement, total tenant payment or assistance payment must be placed in the tenant file. Effect: Copy of the HUD-50059-A reflecting the gross rent increase was not present in the tenant files. Context: Auditor reviewed tenant files noting the form was not present in the tenant files. Cause: Lack of oversight by management agent. Recommendation: A procedure be implemented to ensure that the Project remains in compliance and does an internal review to ensure all required documentation is in the tenant files.
Finding 2023-002
Information on universe/sample size: It was noted during testing that some of the HUD form certifiers were not updated in a timely manner. Condition: HUD forms must be certified by an authorized user. Criteria: The certifier for HUD forms should be a current employee with oversight in the area the form pertains to. Effect: The forms were not certified by the correct individual. Context: Auditor reviewed source documents noting incorrect certifier. Cause: Lack of oversight by management agent. Recommendation: A procedure be implemented to ensure that the Project timely changes the certifier on forms when applicable.
Finding 2023-001
Information on universe: Total population was 46 units. Sample Size: 5 files were selected for testing. Condition: Missing required documentation in the tenant files. Criteria: HUD requires a copy of the HUD-50059-A reflecting any change in the tenant rent, utility reimbursement, total tenant payment or assistance payment must be placed in the tenant file. Effect: Copy of the HUD-50059-A reflecting the gross rent increase was not present in the tenant files. Context: Auditor reviewed tenant files noting the form was not present in the tenant files. Cause: Lack of oversight by management agent. Recommendation: A procedure be implemented to ensure that the Project remains in compliance and does an internal review to ensure all required documentation is in the tenant files.
Finding 2023-002
Information on universe/sample size: It was noted during testing that some of the HUD form certifiers were not updated in a timely manner. Condition: HUD forms must be certified by an authorized user. Criteria: The certifier for HUD forms should be a current employee with oversight in the area the form pertains to. Effect: The forms were not certified by the correct individual. Context: Auditor reviewed source documents noting incorrect certifier. Cause: Lack of oversight by management agent. Recommendation: A procedure be implemented to ensure that the Project timely changes the certifier on forms when applicable.
Finding 2023-001
Information on universe: Total population was 46 units. Sample Size: 5 files were selected for testing. Condition: Missing required documentation in the tenant files. Criteria: HUD requires a copy of the HUD-50059-A reflecting any change in the tenant rent, utility reimbursement, total tenant payment or assistance payment must be placed in the tenant file. Effect: Copy of the HUD-50059-A reflecting the gross rent increase was not present in the tenant files. Context: Auditor reviewed tenant files noting the form was not present in the tenant files. Cause: Lack of oversight by management agent. Recommendation: A procedure be implemented to ensure that the Project remains in compliance and does an internal review to ensure all required documentation is in the tenant files.
Finding 2023-002
Information on universe/sample size: It was noted during testing that some of the HUD form certifiers were not updated in a timely manner. Condition: HUD forms must be certified by an authorized user. Criteria: The certifier for HUD forms should be a current employee with oversight in the area the form pertains to. Effect: The forms were not certified by the correct individual. Context: Auditor reviewed source documents noting incorrect certifier. Cause: Lack of oversight by management agent. Recommendation: A procedure be implemented to ensure that the Project timely changes the certifier on forms when applicable.