FAC Explorer

Audit 297478

FY End
2023-12-31
Total Expended
$1.84M
Findings
4
Programs
3
Organization: The Rodney Scheel House Foundation, Ltd. (WI)
Year: 2023 Accepted: 2024-03-25
Auditor: Wipfli LLP

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
384366 2023-001 Significant Deficiency Yes N
384367 2023-001 Significant Deficiency Yes N
960808 2023-001 Significant Deficiency Yes N
960809 2023-001 Significant Deficiency Yes N

Programs

ALN Program Spent Major Findings
14.181 Supportive Housing for Persons with Disabilities $223,783 Yes 1
14.239 Home Investment Partnerships Program $218,115 - 0
14.241 Housing Opportunities for Persons with Aids $40,844 - 0

Contacts

Name Title Type
MPLEDK66Q7G6 Kendra Eppler Auditee
6082463737 John Hemming Auditor
No contacts on file

Notes to SEFA

Title: Note 1 - Basis of Presentation 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 Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement. Pass-through entity identifying numbers are presented where available. De Minimis Rate Used: N Rate Explanation: The Rodney Scheel House Foundation, Ltd. did not elect to use the 10% de minimis cost rate. The accompanying schedule of expenditures of federal awards (the "Schedule") includes the federal award activity of The Rodney Scheel House Foundation, Ltd. under programs of the federal government for the year ended December 31, 2023. 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 The Rodney Scheel House Foundation, Ltd., it is not intended to and does not present the financial position, changes in net assets, or cash flows of The Rodney Scheel House Foundation, Ltd.
Title: Note 3 - Capital Advance 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 Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement. Pass-through entity identifying numbers are presented where available. De Minimis Rate Used: N Rate Explanation: The Rodney Scheel House Foundation, Ltd. did not elect to use the 10% de minimis cost rate. The balance of the capital advance from the Department of Housing and Urban Development at December 31, 2023 was $1,354,314. The balance of the capital advance from the City of Madison at December 31, 2023 was $218,115.
Title: Note 5 - Subrecipients 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 Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement. Pass-through entity identifying numbers are presented where available. De Minimis Rate Used: N Rate Explanation: The Rodney Scheel House Foundation, Ltd. did not elect to use the 10% de minimis cost rate. The Rodney Scheel House Foundation, Ltd. did not use any subrecipients.

Finding Details

Finding 2023-001
2023-001 Residual Reserve Submissions Information on the Federal Program: Department of Housing and Urban Development, AL 14.181 Supportive Housing for Persons with Disabilities. Questioned Costs: None How the questioned costs were computed: N/A Condition: Required deposits of residual receipts for the year ended December 31, 2022 of $23,964 and for the year ended December 31, 2023 of $8,564 were not remitted to the proper reserve accounts within the required timeframe. Criteria: Owners are required to remit an annual amount to the replacement and residual reserve accounts within the required timeframe. Cause: Due to the transition between property management companies, records and assets were in transition during the first part of 2023 and the required deposits were not made within the required timeframe. Effect: The total annual cash remittance to the replacement and residual receipts reserve accounts were not made in accordance with HUD guidelines. Repeat Finding: Yes Recommendation: Policies and procedures should be reviewed to ensure timely remittance of replacement and residual receipts reserve deposits into the proper reserve account within the required timeframe. Views of Responsible Officials and Planned Corrective Actions: The Rodney Scheel House Foundation, LTD. agrees with the finding. To ensure timely remittance, the Foundation will review policies and procedures and discuss requirements with the property management company to ensure deposits are made in accordance with the required timeframes.
Finding 2023-001
2023-001 Residual Reserve Submissions Information on the Federal Program: Department of Housing and Urban Development, AL 14.181 Supportive Housing for Persons with Disabilities. Questioned Costs: None How the questioned costs were computed: N/A Condition: Required deposits of residual receipts for the year ended December 31, 2022 of $23,964 and for the year ended December 31, 2023 of $8,564 were not remitted to the proper reserve accounts within the required timeframe. Criteria: Owners are required to remit an annual amount to the replacement and residual reserve accounts within the required timeframe. Cause: Due to the transition between property management companies, records and assets were in transition during the first part of 2023 and the required deposits were not made within the required timeframe. Effect: The total annual cash remittance to the replacement and residual receipts reserve accounts were not made in accordance with HUD guidelines. Repeat Finding: Yes Recommendation: Policies and procedures should be reviewed to ensure timely remittance of replacement and residual receipts reserve deposits into the proper reserve account within the required timeframe. Views of Responsible Officials and Planned Corrective Actions: The Rodney Scheel House Foundation, LTD. agrees with the finding. To ensure timely remittance, the Foundation will review policies and procedures and discuss requirements with the property management company to ensure deposits are made in accordance with the required timeframes.
Finding 2023-001
2023-001 Residual Reserve Submissions Information on the Federal Program: Department of Housing and Urban Development, AL 14.181 Supportive Housing for Persons with Disabilities. Questioned Costs: None How the questioned costs were computed: N/A Condition: Required deposits of residual receipts for the year ended December 31, 2022 of $23,964 and for the year ended December 31, 2023 of $8,564 were not remitted to the proper reserve accounts within the required timeframe. Criteria: Owners are required to remit an annual amount to the replacement and residual reserve accounts within the required timeframe. Cause: Due to the transition between property management companies, records and assets were in transition during the first part of 2023 and the required deposits were not made within the required timeframe. Effect: The total annual cash remittance to the replacement and residual receipts reserve accounts were not made in accordance with HUD guidelines. Repeat Finding: Yes Recommendation: Policies and procedures should be reviewed to ensure timely remittance of replacement and residual receipts reserve deposits into the proper reserve account within the required timeframe. Views of Responsible Officials and Planned Corrective Actions: The Rodney Scheel House Foundation, LTD. agrees with the finding. To ensure timely remittance, the Foundation will review policies and procedures and discuss requirements with the property management company to ensure deposits are made in accordance with the required timeframes.
Finding 2023-001
2023-001 Residual Reserve Submissions Information on the Federal Program: Department of Housing and Urban Development, AL 14.181 Supportive Housing for Persons with Disabilities. Questioned Costs: None How the questioned costs were computed: N/A Condition: Required deposits of residual receipts for the year ended December 31, 2022 of $23,964 and for the year ended December 31, 2023 of $8,564 were not remitted to the proper reserve accounts within the required timeframe. Criteria: Owners are required to remit an annual amount to the replacement and residual reserve accounts within the required timeframe. Cause: Due to the transition between property management companies, records and assets were in transition during the first part of 2023 and the required deposits were not made within the required timeframe. Effect: The total annual cash remittance to the replacement and residual receipts reserve accounts were not made in accordance with HUD guidelines. Repeat Finding: Yes Recommendation: Policies and procedures should be reviewed to ensure timely remittance of replacement and residual receipts reserve deposits into the proper reserve account within the required timeframe. Views of Responsible Officials and Planned Corrective Actions: The Rodney Scheel House Foundation, LTD. agrees with the finding. To ensure timely remittance, the Foundation will review policies and procedures and discuss requirements with the property management company to ensure deposits are made in accordance with the required timeframes.