FAC Explorer

Audit 297639

FY End
2023-06-30
Total Expended
$1.10M
Findings
2
Programs
1
Organization: Prairie Inn Corporation (ND)
Year: 2023 Accepted: 2024-03-26
Auditor: Eide Bailly LLP

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
384530 2023-003 Significant Deficiency - N
960972 2023-003 Significant Deficiency - N

Programs

ALN Program Spent Major Findings
14.181 Supportive Housing for Persons with Disabilities $9,825 Yes 0

Contacts

Name Title Type
NNYNJ782FN46 Josh Plecity Auditee
7018451124 Ashley Brandt-Duda Auditor
No contacts on file

Notes to SEFA

Title: Basis of Presentation Accounting Policies: Expenditures reported in the schedule are reported on the accrual basis of accounting. No federal financial assistance has been provided to a subrecipient. De Minimis Rate Used: N Rate Explanation: The Corporation does not draw for indirect administrative expenses and has not elected to use the 10% de minimis cost rate. The accompanying schedule of expenditures of federal awards (schedule) includes the federal award activity of the Corporation, under programs of the federal government for the year ended June 30, 2023. The information 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 Corporation, it is not intended to and does not present the financial position, changes in net assets, or cash flows of the Corporation.
Title: Supportive Housing for the Elderly Accounting Policies: Expenditures reported in the schedule are reported on the accrual basis of accounting. No federal financial assistance has been provided to a subrecipient. De Minimis Rate Used: N Rate Explanation: The Corporation does not draw for indirect administrative expenses and has not elected to use the 10% de minimis cost rate. The Supportive Housing for Persons with Disabilities grant funds disclosed above in the schedule represent capital advance funds which were advanced at the inception of the project and current year tenant assistance payments received. The Corporation is not required to repay the principal or pay any interest, and the note will be forgiven at maturity, as long as the Corporation continues to provide housing for the designated class of people.

Finding Details

Finding 2023-003
Department of Housing and Urban Development CFDA #14.181 Supportive Housing for Persons with Disabilities Special Provisions and Testing – Residual Receipts Account Significant Deficiency in Internal Control over Compliance and Noncompliance Criteria – A good system of internal control over compliance related to the program’s residual receipts account should ensure excess operating funds be deposited in the fund account within 60 days following the end of the fiscal year. Condition – The Corporation did not deposit project funds in a federally insured account within 60 days of the fiscal year end. Cause – The Corporation did not have the deposit amount determined timely enough to have the project funds deposited within 60 days of the fiscal year end. Effect – Without proper implementation of internal controls over the residual receipts account, error could occur and result in the Corporation’s failure to meet the specific program residual receipts requirement. Questioned Costs – None reported Context/Sampling – The two required annual deposits were tested and one was not deposited within 60 days of year end. Report Finding from Prior Year ‐ No Recommendation – We recommend the required amount of project funds be deposited within 60 days following the end of the fiscal year. Views of Responsible Officials – Management agrees with the finding.
Finding 2023-003
Department of Housing and Urban Development CFDA #14.181 Supportive Housing for Persons with Disabilities Special Provisions and Testing – Residual Receipts Account Significant Deficiency in Internal Control over Compliance and Noncompliance Criteria – A good system of internal control over compliance related to the program’s residual receipts account should ensure excess operating funds be deposited in the fund account within 60 days following the end of the fiscal year. Condition – The Corporation did not deposit project funds in a federally insured account within 60 days of the fiscal year end. Cause – The Corporation did not have the deposit amount determined timely enough to have the project funds deposited within 60 days of the fiscal year end. Effect – Without proper implementation of internal controls over the residual receipts account, error could occur and result in the Corporation’s failure to meet the specific program residual receipts requirement. Questioned Costs – None reported Context/Sampling – The two required annual deposits were tested and one was not deposited within 60 days of year end. Report Finding from Prior Year ‐ No Recommendation – We recommend the required amount of project funds be deposited within 60 days following the end of the fiscal year. Views of Responsible Officials – Management agrees with the finding.