FAC Explorer

Audit 296334

FY End
2023-06-30
Total Expended
$3.05M
Findings
2
Programs
2
Organization: North General Aids Housing Development Fund Corporation (NY)
Year: 2023 Accepted: 2024-03-21
Auditor: Cohnreznick LLP

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
382740 2023-001 Significant Deficiency - N
959182 2023-001 Significant Deficiency - N

Programs

ALN Program Spent Major Findings
14.181 Supportive Housing for Persons with Disabilities $2.58M Yes 1
14.856 Lower Income Housing Assistance Program_section 8 Moderate Rehabilitation $476,440 - 0

Contacts

Name Title Type
K6KAJ7M2TQM4 Jacquelyn Kilmer Auditee
2128032899 Jason Rocker Auditor
No contacts on file

Notes to SEFA

Title: U.S. Department of Housing and Urban Development loan program Accounting Policies: Expenditures reported on the Schedule are reported on the accrual basis of accounting. Such expenditures are recognized following, as applicable, the cost principles contained in OMB Circular A-122, "Cost Principles for Non-Profit Organizations" and 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: North General AIDS Housing Development Fund Corporation has elected not to use the 10-percent de minimis indirect cost rate allowed under the Uniform Guidance. North General AIDS Housing Development Fund Corporation has received a U.S. Department of Housing and Urban Development direct loan under Section 811 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. North General AIDS Housing Development Fund Corporation received no additional loans during the year. The balance of the loan outstanding at June 30, 2023 consists of:

Finding Details

Finding 2023-001
Statement of Condition During the year ended June 30, 2023, the project did not make all the required monthly deposits to the replacement reserve, in the amount of $62,500. Criteria The HAP contract requires that the project make monthly deposits to its replacement reserve. Questioned Costs None Cause Delays in funding from HUD of the subsidy voucher which is directly used to fund the replacement reserve. Effect Failure to make monthly payments resulted in an underfunding the replacement reserve and a violation of the HAP contract. Identification as a Repeat Finding No. Recommendation Management should ensure that there is a mechanism and procedures in place to ensure timely funding of the replacement reserve. Auditor Noncompliance Code: N – Special tests and provisions Finding resolution status: Resolved. View of responsible officials and planned corrective actions Management has refunded the money, management should put a system in place to avoid such withdrawals in the future. We have informed the HUD about the finding of April 23 Voucher not submitted on time, and going forward HUD will make sure all the HUD vouchers are submitted timely and monthly reserve’s transfers are done on time.
Finding 2023-001
Statement of Condition During the year ended June 30, 2023, the project did not make all the required monthly deposits to the replacement reserve, in the amount of $62,500. Criteria The HAP contract requires that the project make monthly deposits to its replacement reserve. Questioned Costs None Cause Delays in funding from HUD of the subsidy voucher which is directly used to fund the replacement reserve. Effect Failure to make monthly payments resulted in an underfunding the replacement reserve and a violation of the HAP contract. Identification as a Repeat Finding No. Recommendation Management should ensure that there is a mechanism and procedures in place to ensure timely funding of the replacement reserve. Auditor Noncompliance Code: N – Special tests and provisions Finding resolution status: Resolved. View of responsible officials and planned corrective actions Management has refunded the money, management should put a system in place to avoid such withdrawals in the future. We have informed the HUD about the finding of April 23 Voucher not submitted on time, and going forward HUD will make sure all the HUD vouchers are submitted timely and monthly reserve’s transfers are done on time.