FAC Explorer

Audit 29971

FY End
2022-06-30
Total Expended
$1.08M
Findings
4
Programs
1
Organization: Cla Homes I, Corp. (VA)
Year: 2022 Accepted: 2023-07-31
Auditor: E Cohen and Company CPAS

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
34940 2022-002 Significant Deficiency - N
34941 2022-002 Significant Deficiency - N
611382 2022-002 Significant Deficiency - N
611383 2022-002 Significant Deficiency - N

Programs

ALN Program Spent Major Findings
14.181 Supportive Housing for Persons with Disabilities $62,733 Yes 1

Contacts

Name Title Type
X3KYXVD9ZHK5 Monica Duggal Auditee
7033520388 Kimberly Maxwell Auditor
No contacts on file

Notes to SEFA

Title: Loan/loan guarantee outstanding balances Accounting Policies: Expenditures reported on the Schedule of Expenditures of Federal Awards (the Schedule) are reported on the accrual basis of accounting. Such expenditures are recognized following the cost principles contained in the Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirement for Federal Awards (Uniform Guidance), wherein certain types of expenditures are not allowable or are limited as to reimbursement.The Schedule includes the federal award activity of CLA Homes I, Corp. (the Entity) under programs of the federal government for the year ended June 30, 2022. The information in this Schedule is presented in accordance with the requirements of Uniform Guidance. Because the Schedule presents only a selected portion of the operations of the Entity, it is not intended to and does not present the financial position, changes in net assets or cash flows of the Entity. De Minimis Rate Used: N Rate Explanation: The Entity has elected not to use the 10-percent de minimis indirect cost rate allowed under the Uniform Guidance. The Entity is reimbursed for programmatic and administrative costs in accordance with rules set forth by the U.S. Department of Housing and Urban Development. SUPPORTIVE HOUSING FOR PERSONS WITH DISABILITIES (14.181) - Balances outstanding at the end of the audit period were 1021800.

Finding Details

Finding 2022-002
Part 3: Findings ? Federal Award and Questioned Costs Finding reference number: 2022-02 - Special Test and Provisions - Replacement Reserve Federal agency: US Department of Housing and Urban Development CFDA number: 14.181 Supportive Housing for Persons with Disabilities Type of Finding: Compliance - Reserve for Replacements Deposits Finding Resolution: Resolved status Criteria: An amount as required by HUD will be deposited monthly in the reserve fund (Regulatory Agreement, item 5 (a)). The current HUD-9250 requires that the entity makes monthly payments of $400 into a reserve fund for replacements held in a separate, federally insured account. Condition: The required $400 monthly deposit to the replacement reserve account was not made for six months during the year ended June 30, 2022. Cause: The previous accountant who handled these deposits left CLA in Dec 2021. CLA hired a replacement who has been transitioning into the accounting role and responsibilities. Context and effect: The Entity is required to make a monthly deposit to the replacement reserve account. Questioned costs: None identified. Identification as Repeat Finding, if Applicable: This is not a repeat finding. Recommendation: The Entity must ensure that it follows all regulatory agreement requirements. Views of Responsible Officials, Summary of Auditees? Findings and Recommendations & Response: Management agrees with the auditor?s findings and recommendations. Completion Date: September 19, 2022
Finding 2022-002
Part 3: Findings ? Federal Award and Questioned Costs Finding reference number: 2022-02 - Special Test and Provisions - Replacement Reserve Federal agency: US Department of Housing and Urban Development CFDA number: 14.181 Supportive Housing for Persons with Disabilities Type of Finding: Compliance - Reserve for Replacements Deposits Finding Resolution: Resolved status Criteria: An amount as required by HUD will be deposited monthly in the reserve fund (Regulatory Agreement, item 5 (a)). The current HUD-9250 requires that the entity makes monthly payments of $400 into a reserve fund for replacements held in a separate, federally insured account. Condition: The required $400 monthly deposit to the replacement reserve account was not made for six months during the year ended June 30, 2022. Cause: The previous accountant who handled these deposits left CLA in Dec 2021. CLA hired a replacement who has been transitioning into the accounting role and responsibilities. Context and effect: The Entity is required to make a monthly deposit to the replacement reserve account. Questioned costs: None identified. Identification as Repeat Finding, if Applicable: This is not a repeat finding. Recommendation: The Entity must ensure that it follows all regulatory agreement requirements. Views of Responsible Officials, Summary of Auditees? Findings and Recommendations & Response: Management agrees with the auditor?s findings and recommendations. Completion Date: September 19, 2022
Finding 2022-002
Part 3: Findings ? Federal Award and Questioned Costs Finding reference number: 2022-02 - Special Test and Provisions - Replacement Reserve Federal agency: US Department of Housing and Urban Development CFDA number: 14.181 Supportive Housing for Persons with Disabilities Type of Finding: Compliance - Reserve for Replacements Deposits Finding Resolution: Resolved status Criteria: An amount as required by HUD will be deposited monthly in the reserve fund (Regulatory Agreement, item 5 (a)). The current HUD-9250 requires that the entity makes monthly payments of $400 into a reserve fund for replacements held in a separate, federally insured account. Condition: The required $400 monthly deposit to the replacement reserve account was not made for six months during the year ended June 30, 2022. Cause: The previous accountant who handled these deposits left CLA in Dec 2021. CLA hired a replacement who has been transitioning into the accounting role and responsibilities. Context and effect: The Entity is required to make a monthly deposit to the replacement reserve account. Questioned costs: None identified. Identification as Repeat Finding, if Applicable: This is not a repeat finding. Recommendation: The Entity must ensure that it follows all regulatory agreement requirements. Views of Responsible Officials, Summary of Auditees? Findings and Recommendations & Response: Management agrees with the auditor?s findings and recommendations. Completion Date: September 19, 2022
Finding 2022-002
Part 3: Findings ? Federal Award and Questioned Costs Finding reference number: 2022-02 - Special Test and Provisions - Replacement Reserve Federal agency: US Department of Housing and Urban Development CFDA number: 14.181 Supportive Housing for Persons with Disabilities Type of Finding: Compliance - Reserve for Replacements Deposits Finding Resolution: Resolved status Criteria: An amount as required by HUD will be deposited monthly in the reserve fund (Regulatory Agreement, item 5 (a)). The current HUD-9250 requires that the entity makes monthly payments of $400 into a reserve fund for replacements held in a separate, federally insured account. Condition: The required $400 monthly deposit to the replacement reserve account was not made for six months during the year ended June 30, 2022. Cause: The previous accountant who handled these deposits left CLA in Dec 2021. CLA hired a replacement who has been transitioning into the accounting role and responsibilities. Context and effect: The Entity is required to make a monthly deposit to the replacement reserve account. Questioned costs: None identified. Identification as Repeat Finding, if Applicable: This is not a repeat finding. Recommendation: The Entity must ensure that it follows all regulatory agreement requirements. Views of Responsible Officials, Summary of Auditees? Findings and Recommendations & Response: Management agrees with the auditor?s findings and recommendations. Completion Date: September 19, 2022