FAC Explorer

Audit 303632

FY End
2023-09-30
Total Expended
$1.66M
Findings
4
Programs
3
Organization: Iron County Housing Commission (MI)
Year: 2023 Accepted: 2024-04-16
Auditor: Anderson Tackman and CO Plc

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
393375 2023-001 Material Weakness - N
393376 2023-002 Material Weakness - N
969817 2023-001 Material Weakness - N
969818 2023-002 Material Weakness - N

Programs

ALN Program Spent Major Findings
14.871 Section 8 Housing Choice Vouchers $989,660 Yes 2
14.850 Public and Indian Housing $492,300 - 0
14.872 Public Housing Capital Fund $178,236 - 0

Contacts

Name Title Type
ZJ22T393P7E4 Victoria Webb Auditee
9068756060 Lynn Sadowski Auditor
No contacts on file

Notes to SEFA

Title: Basis of Presentation 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 200 CFR Part 200, Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement. De Minimis Rate Used: N Rate Explanation: Iron County Housing Commission has not elected to use the 10% de minimis indirect cost rate as allowed under the Uniform Guidance. The accompanying schedule of expenditures of federal awards includes the federal grant activity of Iron County Housing Commission and is presented on the accrual basis of accounting. 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 Awards (Uniform Guidance). Because the Schedule presents only a selected portion of the operations of Iron County Housing Commission, it is not intended to and does not present the financial position, changes in net position, or cash flows of Iron County Housing Commission.

Finding Details

Finding 2023-001
Finding 2023-001 Statement of Condition: During the review of tenant files, it was noted 3 out of 25 annual inspections were not completed in the fiscal year under audit and 1 out of 25 annual inspections that had failed and was not reinspected within the appropriate timeframe was deemed life threatening. Criteria: N. SPECIAL TESTS AND PROVISIONS ITEM 4. HOUSING QUALITY INSPECTIONS AND ITEM 5. HQS ENFORCEMENT: 24 CFR Section 982.158(d) requires a PHA to perform a quality inspection yearly and reinspect any failed inspections with 24 hours for life threatening items or 30 days for non-life threatening items. Perspective Information: The Commission did not have effective internal controls over HQS inspections. Questioned Costs: Unknown. Effect: The Commission is not in compliance with the requirements as outlined in the special tests and provisions, housing quality inspections and HQS enforcement sections above. Cause: Lack of controls over grant requirements. Recommendation: The Commission should implement policies and procedures to ensure all federal compliances are followed pertaining to housing quality inspections and HQS enforcement. Management’s Response: Management is still in the process of implementing policies and procedures to ensure all inspections are performed in a timely manner and all re-inspections are performed within the required timeframe.
Finding 2023-002
Finding 2023-002 Statement of Condition: It was noted the Commission has not updated its utility allowance schedule since 2013. Criteria: N. SPECIAL TESTS AND PROVISIONS ITEM 3. UTILITY ALLOWANCE SCHEDULE: 24 CFR Section 982.517 requires a PHA to maintain an up to date utility allowance schedule. Perspective Information: The Commission did not have effective internal controls over the utility allowance schedule. Questioned Costs: Unknown. Effect: The Commission is not in compliance with the requirements as outlined in the special tests and provisions, utility allowance schedule section above. Cause: Lack of controls over grant requirements. Recommendation: The Commission should implement policies and procedures to ensure the utility allowance schedule is updated yearly. Management’s Response: Management has updated its utility allowance effective beginning in November 2023.
Finding 2023-001
Finding 2023-001 Statement of Condition: During the review of tenant files, it was noted 3 out of 25 annual inspections were not completed in the fiscal year under audit and 1 out of 25 annual inspections that had failed and was not reinspected within the appropriate timeframe was deemed life threatening. Criteria: N. SPECIAL TESTS AND PROVISIONS ITEM 4. HOUSING QUALITY INSPECTIONS AND ITEM 5. HQS ENFORCEMENT: 24 CFR Section 982.158(d) requires a PHA to perform a quality inspection yearly and reinspect any failed inspections with 24 hours for life threatening items or 30 days for non-life threatening items. Perspective Information: The Commission did not have effective internal controls over HQS inspections. Questioned Costs: Unknown. Effect: The Commission is not in compliance with the requirements as outlined in the special tests and provisions, housing quality inspections and HQS enforcement sections above. Cause: Lack of controls over grant requirements. Recommendation: The Commission should implement policies and procedures to ensure all federal compliances are followed pertaining to housing quality inspections and HQS enforcement. Management’s Response: Management is still in the process of implementing policies and procedures to ensure all inspections are performed in a timely manner and all re-inspections are performed within the required timeframe.
Finding 2023-002
Finding 2023-002 Statement of Condition: It was noted the Commission has not updated its utility allowance schedule since 2013. Criteria: N. SPECIAL TESTS AND PROVISIONS ITEM 3. UTILITY ALLOWANCE SCHEDULE: 24 CFR Section 982.517 requires a PHA to maintain an up to date utility allowance schedule. Perspective Information: The Commission did not have effective internal controls over the utility allowance schedule. Questioned Costs: Unknown. Effect: The Commission is not in compliance with the requirements as outlined in the special tests and provisions, utility allowance schedule section above. Cause: Lack of controls over grant requirements. Recommendation: The Commission should implement policies and procedures to ensure the utility allowance schedule is updated yearly. Management’s Response: Management has updated its utility allowance effective beginning in November 2023.