FAC Explorer

Audit 299143

FY End
2023-06-30
Total Expended
$1.43M
Findings
4
Programs
1
Organization: Mhccc Housing CORP Iic (IL)
Year: 2023 Accepted: 2024-03-28
Auditor: Baker Tilly US LLP

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
386830 2023-001 - - E
386831 2023-001 - - E
963272 2023-001 - - E
963273 2023-001 - - E

Programs

ALN Program Spent Major Findings
14.181 Supportive Housing for Persons with Disabilities $61,403 Yes 1

Contacts

Name Title Type
CTRMKKALN4J3 Michael Vick Auditee
8153875642 Krista Pankop Auditor
No contacts on file

Notes to SEFA

Title: Capital Advance Accounting Policies: Expenditures reported on the Schedule are reported on the accrual basis of accounting. Such expenditures are recognized following, as applicable, either the cost principles in OMB Circular A-122, Cost Principles for Non-Profit Organizations, or 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 Project has elected not to use the 10-percent de minimis indirect cost rate allowed under the Uniform Guidance. The capital advance at the beginning of the year is included in the federal expenditures presented in the Schedule. This is also the balance at June 30, 2023.
Title: Basis of Presentation Accounting Policies: Expenditures reported on the Schedule are reported on the accrual basis of accounting. Such expenditures are recognized following, as applicable, either the cost principles in OMB Circular A-122, Cost Principles for Non-Profit Organizations, or 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 Project has elected not to use the 10-percent de minimis indirect cost rate allowed under the Uniform Guidance. The accompanying schedule of expenditures of federal awards (the Schedule) includes the federal award activity of MHCCC Housing Corporation llC (the Project) 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 Requirements, Cost Principles and Audit Requirements for Federal Audits (Uniform Guidance). Because the Schedule presents only a selected portion of the operations of the Project, it is not intended to and does not present the financial position, changes in net assets or cash flows of the Project.

Finding Details

Finding 2023-001
Agency: U.S. Department of Housing and Urban Development (HUD) Assistance Listing Number: 14.181 Program: Supportive Housing for Persons with Disabilities Criteria: According to Chapter 9 of the HUD Multifamily Occupancy Handbook, HUD requires an Existing Tenant Search through the Enterprise Income Verification System (EIV) be completed for all new tenants prior to move in. Condition: Management did not complete the search for a tenant prior to move-in. Cause: Due to a clerical error, an incorrect social security number was entered while running the EIV. Effect: The clerical error resulted in a search being run for an incorrect person and the new tenant did not have a search run prior to their move in. The Project's controls discovered the error the following month and the correct EIV search was performed. No exceptions were discovered through the subsequent search. Questioned Costs: The amount of questioned costs cannot be determined. Context: We tested 1 of 1 new tenants during the year noting the EIV search was not run prior to move in. Recommendation: We recommend management verify the information entered into the EIV. Management's Response: Management acknowledges the error and will continue to verify the social security numbers being entered.
Finding 2023-001
Agency: U.S. Department of Housing and Urban Development (HUD) Assistance Listing Number: 14.181 Program: Supportive Housing for Persons with Disabilities Criteria: According to Chapter 9 of the HUD Multifamily Occupancy Handbook, HUD requires an Existing Tenant Search through the Enterprise Income Verification System (EIV) be completed for all new tenants prior to move in. Condition: Management did not complete the search for a tenant prior to move-in. Cause: Due to a clerical error, an incorrect social security number was entered while running the EIV. Effect: The clerical error resulted in a search being run for an incorrect person and the new tenant did not have a search run prior to their move in. The Project's controls discovered the error the following month and the correct EIV search was performed. No exceptions were discovered through the subsequent search. Questioned Costs: The amount of questioned costs cannot be determined. Context: We tested 1 of 1 new tenants during the year noting the EIV search was not run prior to move in. Recommendation: We recommend management verify the information entered into the EIV. Management's Response: Management acknowledges the error and will continue to verify the social security numbers being entered.
Finding 2023-001
Agency: U.S. Department of Housing and Urban Development (HUD) Assistance Listing Number: 14.181 Program: Supportive Housing for Persons with Disabilities Criteria: According to Chapter 9 of the HUD Multifamily Occupancy Handbook, HUD requires an Existing Tenant Search through the Enterprise Income Verification System (EIV) be completed for all new tenants prior to move in. Condition: Management did not complete the search for a tenant prior to move-in. Cause: Due to a clerical error, an incorrect social security number was entered while running the EIV. Effect: The clerical error resulted in a search being run for an incorrect person and the new tenant did not have a search run prior to their move in. The Project's controls discovered the error the following month and the correct EIV search was performed. No exceptions were discovered through the subsequent search. Questioned Costs: The amount of questioned costs cannot be determined. Context: We tested 1 of 1 new tenants during the year noting the EIV search was not run prior to move in. Recommendation: We recommend management verify the information entered into the EIV. Management's Response: Management acknowledges the error and will continue to verify the social security numbers being entered.
Finding 2023-001
Agency: U.S. Department of Housing and Urban Development (HUD) Assistance Listing Number: 14.181 Program: Supportive Housing for Persons with Disabilities Criteria: According to Chapter 9 of the HUD Multifamily Occupancy Handbook, HUD requires an Existing Tenant Search through the Enterprise Income Verification System (EIV) be completed for all new tenants prior to move in. Condition: Management did not complete the search for a tenant prior to move-in. Cause: Due to a clerical error, an incorrect social security number was entered while running the EIV. Effect: The clerical error resulted in a search being run for an incorrect person and the new tenant did not have a search run prior to their move in. The Project's controls discovered the error the following month and the correct EIV search was performed. No exceptions were discovered through the subsequent search. Questioned Costs: The amount of questioned costs cannot be determined. Context: We tested 1 of 1 new tenants during the year noting the EIV search was not run prior to move in. Recommendation: We recommend management verify the information entered into the EIV. Management's Response: Management acknowledges the error and will continue to verify the social security numbers being entered.