FAC Explorer

Audit 303027

FY End
2023-06-30
Total Expended
$3.01M
Findings
4
Programs
2
Organization: Ahepa - Penelope 38 Apartments, Inc. (IA)
Year: 2023 Accepted: 2024-04-09
Auditor: Clark Schaefer Hackett

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
392740 2023-001 Significant Deficiency - A
392741 2023-001 Significant Deficiency - A
969182 2023-001 Significant Deficiency - A
969183 2023-001 Significant Deficiency - A

Programs

ALN Program Spent Major Findings
14.157 Supportive Housing for the Elderly - Section 202 Hud Capital Advance $2.81M Yes 1
14.157 Supportive Housing for the Elderly - Project Rental Assistance Contract $199,415 Yes 1

Contacts

Name Title Type
DB2EH2T9DM93 Dawn Cole Auditee
3178453410 Jonah Colvin Auditor
No contacts on file

Notes to SEFA

Title: Loan/loan guarantee outstanding balances 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 the Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement De Minimis Rate Used: N Rate Explanation: The auditee did not use the de minimis cost rate The outstanding balance of the HUD Capital Advance at June 30, 2023 with continuing compliance requirements which are reported as federal expenditures on the accompanying schedule of expenditures of federal awards was $2,811,800.

Finding Details

Finding 2023-001
S3800-010 Finding reference number 2023-001 S3800-011 Title and AL number of federal program Supportive Housing for the Elderly #14.157 S3800-015 Type of finding Federal Award Finding and Internal Control over Compliance S3800-016 Finding resolution status Complete S3800-017 Information on universe population size not applicable S3800-018 Sample size information not applicable S3800-019 Identification of repeat finding and finding reference number not applicable S3800-020 Criteria The Regulatory Agreement between HUD and the owner stipulates that HUD approval is required for replacement reserve withdrawals. S3800-030 Statement of condition The Organization made a withdrawal of $5,800 that was not approved by HUD from the replacement reserve account. S3800-032 Cause Management made distribution in error S3800-033 Effect or potential effect Cash may be unavailable to meet reasonable and necessary capital obligations of the project. S3800-035 Auditor non-compliance code A - Unauthorized withdrawals from replacement reserve account S3800-037 FHA/Contract number 074-EE009 S3800-040 Questioned costs $0 S3800-045 Reporting views of responsible officials Management agrees. S3800-080 Recommendation Management should monitor internal controls over compliance and receive HUD approval before distributions from the replacement reserve account are authorized. S3800-090 Auditors' summary of the auditee's comments on the findings and recommendations Management concurs. S3800-130 Response indicator Agree S3800-140 Anticipated Completion Date January 5, 2024 S3800-150 Response Management has refunded the distribution made in error.
Finding 2023-001
S3800-010 Finding reference number 2023-001 S3800-011 Title and AL number of federal program Supportive Housing for the Elderly #14.157 S3800-015 Type of finding Federal Award Finding and Internal Control over Compliance S3800-016 Finding resolution status Complete S3800-017 Information on universe population size not applicable S3800-018 Sample size information not applicable S3800-019 Identification of repeat finding and finding reference number not applicable S3800-020 Criteria The Regulatory Agreement between HUD and the owner stipulates that HUD approval is required for replacement reserve withdrawals. S3800-030 Statement of condition The Organization made a withdrawal of $5,800 that was not approved by HUD from the replacement reserve account. S3800-032 Cause Management made distribution in error S3800-033 Effect or potential effect Cash may be unavailable to meet reasonable and necessary capital obligations of the project. S3800-035 Auditor non-compliance code A - Unauthorized withdrawals from replacement reserve account S3800-037 FHA/Contract number 074-EE009 S3800-040 Questioned costs $0 S3800-045 Reporting views of responsible officials Management agrees. S3800-080 Recommendation Management should monitor internal controls over compliance and receive HUD approval before distributions from the replacement reserve account are authorized. S3800-090 Auditors' summary of the auditee's comments on the findings and recommendations Management concurs. S3800-130 Response indicator Agree S3800-140 Anticipated Completion Date January 5, 2024 S3800-150 Response Management has refunded the distribution made in error.
Finding 2023-001
S3800-010 Finding reference number 2023-001 S3800-011 Title and AL number of federal program Supportive Housing for the Elderly #14.157 S3800-015 Type of finding Federal Award Finding and Internal Control over Compliance S3800-016 Finding resolution status Complete S3800-017 Information on universe population size not applicable S3800-018 Sample size information not applicable S3800-019 Identification of repeat finding and finding reference number not applicable S3800-020 Criteria The Regulatory Agreement between HUD and the owner stipulates that HUD approval is required for replacement reserve withdrawals. S3800-030 Statement of condition The Organization made a withdrawal of $5,800 that was not approved by HUD from the replacement reserve account. S3800-032 Cause Management made distribution in error S3800-033 Effect or potential effect Cash may be unavailable to meet reasonable and necessary capital obligations of the project. S3800-035 Auditor non-compliance code A - Unauthorized withdrawals from replacement reserve account S3800-037 FHA/Contract number 074-EE009 S3800-040 Questioned costs $0 S3800-045 Reporting views of responsible officials Management agrees. S3800-080 Recommendation Management should monitor internal controls over compliance and receive HUD approval before distributions from the replacement reserve account are authorized. S3800-090 Auditors' summary of the auditee's comments on the findings and recommendations Management concurs. S3800-130 Response indicator Agree S3800-140 Anticipated Completion Date January 5, 2024 S3800-150 Response Management has refunded the distribution made in error.
Finding 2023-001
S3800-010 Finding reference number 2023-001 S3800-011 Title and AL number of federal program Supportive Housing for the Elderly #14.157 S3800-015 Type of finding Federal Award Finding and Internal Control over Compliance S3800-016 Finding resolution status Complete S3800-017 Information on universe population size not applicable S3800-018 Sample size information not applicable S3800-019 Identification of repeat finding and finding reference number not applicable S3800-020 Criteria The Regulatory Agreement between HUD and the owner stipulates that HUD approval is required for replacement reserve withdrawals. S3800-030 Statement of condition The Organization made a withdrawal of $5,800 that was not approved by HUD from the replacement reserve account. S3800-032 Cause Management made distribution in error S3800-033 Effect or potential effect Cash may be unavailable to meet reasonable and necessary capital obligations of the project. S3800-035 Auditor non-compliance code A - Unauthorized withdrawals from replacement reserve account S3800-037 FHA/Contract number 074-EE009 S3800-040 Questioned costs $0 S3800-045 Reporting views of responsible officials Management agrees. S3800-080 Recommendation Management should monitor internal controls over compliance and receive HUD approval before distributions from the replacement reserve account are authorized. S3800-090 Auditors' summary of the auditee's comments on the findings and recommendations Management concurs. S3800-130 Response indicator Agree S3800-140 Anticipated Completion Date January 5, 2024 S3800-150 Response Management has refunded the distribution made in error.