Audit 298479

FY End
2023-06-30
Total Expended
$1.66M
Findings
2
Programs
2
Year: 2023 Accepted: 2024-03-27

Organization Exclusion Status:

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Findings

ID Ref Severity Repeat Requirement
386099 2023-001 Significant Deficiency - N
962541 2023-001 Significant Deficiency - N

Programs

Contacts

Name Title Type
XEHGDCFNCSK4 Amy Spaeth Auditee
8163641501 Brian Welch Auditor
No contacts on file

Notes to SEFA

Title: BASIS OF PRESENTATION Accounting Policies: Expenditures reported on the Schedule are reported on the GAAP 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. Negative amounts shown on the Schedule represent adjustments or credits made in the normal course of business to amounts reported as expenditures in prior years. De Minimis Rate Used: N Rate Explanation: The Organization did not elect to use the De Minimis10% Indirect Cost Rate The accompanying schedule of expenditures of federal awards (the Schedule) includes the federal award activity of Sheltering Arms Housing Corporation 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 Part 200, Uniform Administrative Requirement, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance). Because the Schedule presents only a selected portion of operations of Sheltering Arms Housing Corporation, it is not intended to and does not present the financial position, changes in net assets, or cash flows of Sheltering Arms Housing Corporation.
Title: BALANCE OF OUTSTANDING LOAN Accounting Policies: Expenditures reported on the Schedule are reported on the GAAP 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. Negative amounts shown on the Schedule represent adjustments or credits made in the normal course of business to amounts reported as expenditures in prior years. De Minimis Rate Used: N Rate Explanation: The Organization did not elect to use the De Minimis10% Indirect Cost Rate The balance of the Section 811 loan as of June 30, 2023 was $1,600,600

Finding Details

S3800-010: Finding Reference Number 2023-001 (Significant Deficiency) S3800-011: Program Information Federal Program: Supportive Housing for Persons with Disabilities - Section 811 Federal Agency: U.S. Department of Housing and Urban Development Assistance Listing #: 14.181 Pass-through Entity: None Federal Award Identification Number and Year: N/A Type of Compliance Finding: N – Special Tests and Provisions S3800-015: Type of Finding Federal Awards S3800-016: Finding Resolution Status Resolved S3800-017: Information on Universe Population Size N/A S3800-018: Sample Size Information N/A S3800-019: Identification of Repeat Finding and Finding Reference Number N/A S3800-020: Criteria HUD Form-9250, Funds Authorizations, and the regulatory agreement requires the Organization to deposit $720 into the replacement reserve account on a monthly basis. S3800-030: Statement of Condition During our audit of the Organization’s fiscal year ended June 30, 2023 federal award program, we noted the Organization failed to make the required monthly deposit of $720 into the reserve for replacement account from January to June 2023. S3800-032: Cause The Organization failed to deposit the required monthly amount into the reserve for replacement account for January to June 2023. S3800-033: Effect or Potential Effect The Organization was not in compliance with the regulatory agreement to make required monthly deposits into the reserve for replacement account. S3800-035: Auditor Non-Compliance Code N – Reserve for replacements deposits S3800-040: Questioned Costs $4,320 S3800-045: Reporting Views of Responsible Officials Management agrees with the auditor’s finding. S3800-050: Context The Organization missed depositing $4,320 into the reserve for replacement account for July – December during the year ended June 30, 2023. The deposit was made in July 2023. S3800-080: Recommendation The Organization should ensure the process to reconcile replacement reserve on a monthly basis is being followed so that missing deposit is identified on a timely basis. S3800-090: Auditor’s Summary of the Auditee’s Comments on the Findings and Recommendations Concur S3800-130: Response Indicator Agree S3800-140: Completion Date or Proposed Completion Date July 2023 S3800-150: Response See Corrective Action Plan
S3800-010: Finding Reference Number 2023-001 (Significant Deficiency) S3800-011: Program Information Federal Program: Supportive Housing for Persons with Disabilities - Section 811 Federal Agency: U.S. Department of Housing and Urban Development Assistance Listing #: 14.181 Pass-through Entity: None Federal Award Identification Number and Year: N/A Type of Compliance Finding: N – Special Tests and Provisions S3800-015: Type of Finding Federal Awards S3800-016: Finding Resolution Status Resolved S3800-017: Information on Universe Population Size N/A S3800-018: Sample Size Information N/A S3800-019: Identification of Repeat Finding and Finding Reference Number N/A S3800-020: Criteria HUD Form-9250, Funds Authorizations, and the regulatory agreement requires the Organization to deposit $720 into the replacement reserve account on a monthly basis. S3800-030: Statement of Condition During our audit of the Organization’s fiscal year ended June 30, 2023 federal award program, we noted the Organization failed to make the required monthly deposit of $720 into the reserve for replacement account from January to June 2023. S3800-032: Cause The Organization failed to deposit the required monthly amount into the reserve for replacement account for January to June 2023. S3800-033: Effect or Potential Effect The Organization was not in compliance with the regulatory agreement to make required monthly deposits into the reserve for replacement account. S3800-035: Auditor Non-Compliance Code N – Reserve for replacements deposits S3800-040: Questioned Costs $4,320 S3800-045: Reporting Views of Responsible Officials Management agrees with the auditor’s finding. S3800-050: Context The Organization missed depositing $4,320 into the reserve for replacement account for July – December during the year ended June 30, 2023. The deposit was made in July 2023. S3800-080: Recommendation The Organization should ensure the process to reconcile replacement reserve on a monthly basis is being followed so that missing deposit is identified on a timely basis. S3800-090: Auditor’s Summary of the Auditee’s Comments on the Findings and Recommendations Concur S3800-130: Response Indicator Agree S3800-140: Completion Date or Proposed Completion Date July 2023 S3800-150: Response See Corrective Action Plan