FAC Explorer

Audit 293233

FY End
2023-06-30
Total Expended
$3.88M
Findings
2
Programs
4
Organization: Adams County Housing Authority (PA)
Year: 2023 Accepted: 2024-03-04
Auditor: Hamilton & Musser PC

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
371988 2023-001 Significant Deficiency - E
948430 2023-001 Significant Deficiency - E

Programs

ALN Program Spent Major Findings
14.871 Section 8 Housing Choice Vouchers $3.42M Yes 1
14.896 Family Self-Sufficiency Program $100,454 - 0
14.879 Mainstream Vouchers $92,821 - 0
10.427 Rural Rental Assistance Payments $92,104 - 0

Contacts

Name Title Type
HAATKL5MJTA8 Stephanie McIlwee Auditee
7173341518 Nicholas Shearer Auditor
No contacts on file

Notes to SEFA

Title: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Accounting Policies: BASIS OF PRESENTATION The accompanying schedule of expenditures of federal awards (the Schedule) includes the federal grant activity of Adams County Housing Authority under programs of the federal government for the year ended June 30, 2023. The information in this Schedule is presented in accordance with the requirements of Title 2 U.S. Code of Federal Regulations (CFR) Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards. Because the Schedule presents only a selected portion of the operations of Adams County Housing Authority, it is not intended to and does not present the net position or changes in net position of Adams County Housing Authority. De Minimis Rate Used: N Rate Explanation: The Authority did not elect to use the de minimus rate for indirect costs. Expenditures reported on the Schedule are reported on the modified cash basis of accounting. Such expenditures are recognized following cost principles contained in the Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement.
Title: MORTGAGES Accounting Policies: BASIS OF PRESENTATION The accompanying schedule of expenditures of federal awards (the Schedule) includes the federal grant activity of Adams County Housing Authority under programs of the federal government for the year ended June 30, 2023. The information in this Schedule is presented in accordance with the requirements of Title 2 U.S. Code of Federal Regulations (CFR) Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards. Because the Schedule presents only a selected portion of the operations of Adams County Housing Authority, it is not intended to and does not present the net position or changes in net position of Adams County Housing Authority. De Minimis Rate Used: N Rate Explanation: The Authority did not elect to use the de minimus rate for indirect costs. The Schedule does not include mortgages provided by Rural Development as follows at June 30, 2023: McIntosh Court for $2,751 and Harold Court for $1,385,763 which totals $ 1,388,514. Calculation of 40% Rule: Total federal expenditures per schedule was $3,883,290. Major Program is Section 8 Voucher Program, CFDA #14.871 with a total expended of $ 3,419,225. Total (88.05% of total federal expenditures) $ 3,419,225.

Finding Details

Finding 2023-001
#2023-001 – Significant Deficiency – Housing Assistance Payments Section 8 Housing Choice Vouchers, CFDA #14.871 Criteria The Office of Management and Budget issuance of the Code of Federal Regulations (CFR) specifically states Public Housing Authorities must pay a monthly HAP on behalf of the family that corresponds with the amount on line 12u of the HUD-50058. The HAP amount must be reflected on the HAP contract and HAP register. Condition During the course of the audit, it was noted that the amount of the HAP payment was miscalculated for a number of families utilizing the program. Cause The cause is due to information from the families that was missing. Effect The potential effect is that the HAP payments could be overstated. Questioned Costs None Perspective Information The finding is related only to the HCV program funds. Identification as a repeat finding There was no similar finding in the prior year. Recommendation We recommend that the Authority implement additional review procedures over the HAP contract and documentation prior or soon after the file is finalized. View of responsible officials and planned corrective action We agree that this compliance requirement is listed in the compliance supplement. We will implement additional review procedures to capture any missing information or errors in the reporting. Additional training has been provided to the HCV Staff.
Finding 2023-001
#2023-001 – Significant Deficiency – Housing Assistance Payments Section 8 Housing Choice Vouchers, CFDA #14.871 Criteria The Office of Management and Budget issuance of the Code of Federal Regulations (CFR) specifically states Public Housing Authorities must pay a monthly HAP on behalf of the family that corresponds with the amount on line 12u of the HUD-50058. The HAP amount must be reflected on the HAP contract and HAP register. Condition During the course of the audit, it was noted that the amount of the HAP payment was miscalculated for a number of families utilizing the program. Cause The cause is due to information from the families that was missing. Effect The potential effect is that the HAP payments could be overstated. Questioned Costs None Perspective Information The finding is related only to the HCV program funds. Identification as a repeat finding There was no similar finding in the prior year. Recommendation We recommend that the Authority implement additional review procedures over the HAP contract and documentation prior or soon after the file is finalized. View of responsible officials and planned corrective action We agree that this compliance requirement is listed in the compliance supplement. We will implement additional review procedures to capture any missing information or errors in the reporting. Additional training has been provided to the HCV Staff.