FAC Explorer

Audit 315284

FY End
2023-12-31
Total Expended
$14.02M
Findings
4
Programs
16
Organization: Houston Area Women's Center (TX)
Year: 2023 Accepted: 2024-07-16
Auditor: Blazek & Vetterling

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
478667 2023-002 Significant Deficiency - P
478668 2023-003 Significant Deficiency - E
1055109 2023-002 Significant Deficiency - P
1055110 2023-003 Significant Deficiency - E

Programs

ALN Program Spent Major Findings
14.239 Home Investment Partnerships Program $7.74M Yes 1
21.023 Emergency Rental Assistance Program $942,721 Yes 1
21.027 Coronavirus State and Local Fiscal Recovery Funds $731,491 Yes 0
93.671 Family Violence Prevention and Services/domestic Violence Shelter and Supportive Services $461,115 Yes 0
14.231 Emergency Solutions Grant Program $444,021 - 0
16.575 Crime Victim Assistance $385,881 - 0
93.497 Family Violence Prevention and Services/ Sexual Assault/rape Crisis Services and Supports $280,565 - 0
93.558 Temporary Assistance for Needy Families $263,780 - 0
93.667 Social Services Block Grant $217,627 - 0
16.524 Legal Assistance for Victims $157,347 - 0
16.590 Grants to Encourage Arrest Policies and Enforcement of Protection Orders Program $120,350 - 0
14.267 Continuum of Care Program $113,412 Yes 0
93.493 Congressional Directives $104,731 - 0
93.136 Injury Prevention and Control Research and State and Community Based Programs $84,365 - 0
10.558 Child and Adult Care Food Program $50,073 - 0
16.588 Violence Against Women Formula Grants $8,832 - 0

Contacts

Name Title Type
G81LDMC9KCK6 Emilee Whitehurst Auditee
7135286798 Laurie Hill Gutierrez Auditor
No contacts on file

Notes to SEFA

Title: NOTE 1 – SIGNIFICANT ACCOUNTING POLICIES Accounting Policies: Basis of presentation – The schedules of expenditures of federal and state awards (the schedules) are prepared on the accrual basis of accounting. The information in these schedules is presented in accordance with the requirements of Title 2 U. S. Code of Federal Regulations (CFR) Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance) and the Texas Grant Management Standards. Federal and state expenses include allowable expenses funded by federal and state grants. Allowable costs are subject to the cost principles of the Uniform Guidance, the Texas Grant Management Standards, and U. S. Department of the Treasury guidelines, and include both costs that are capitalized and costs that are recognized as expenses in HAWC’s financial statements in conformity with generally accepted accounting principles. HAWC has elected to use the 10% de minimis cost rate for indirect costs. Because the schedules present only a selected portion of the operations of HAWC, they are not intended to and do not present the financial position, changes in net assets, or cash flows of HAWC. De Minimis Rate Used: Y Rate Explanation: The Auditee has elected to use an indirect cost rate. Basis of presentation – The schedules of expenditures of federal and state awards (the schedules) are prepared on the accrual basis of accounting. The information in these schedules is presented in accordance with the requirements of Title 2 U. S. Code of Federal Regulations (CFR) Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance) and the Texas Grant Management Standards. Federal and state expenses include allowable expenses funded by federal and state grants. Allowable costs are subject to the cost principles of the Uniform Guidance, the Texas Grant Management Standards, and U. S. Department of the Treasury guidelines, and include both costs that are capitalized and costs that are recognized as expenses in HAWC’s financial statements in conformity with generally accepted accounting principles. HAWC has elected to use the 10% de minimis cost rate for indirect costs. Because the schedules present only a selected portion of the operations of HAWC, they are not intended to and do not present the financial position, changes in net assets, or cash flows of HAWC.
Title: NOTE 2 – U. S. DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT LOAN PROGRAM Accounting Policies: Basis of presentation – The schedules of expenditures of federal and state awards (the schedules) are prepared on the accrual basis of accounting. The information in these schedules is presented in accordance with the requirements of Title 2 U. S. Code of Federal Regulations (CFR) Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance) and the Texas Grant Management Standards. Federal and state expenses include allowable expenses funded by federal and state grants. Allowable costs are subject to the cost principles of the Uniform Guidance, the Texas Grant Management Standards, and U. S. Department of the Treasury guidelines, and include both costs that are capitalized and costs that are recognized as expenses in HAWC’s financial statements in conformity with generally accepted accounting principles. HAWC has elected to use the 10% de minimis cost rate for indirect costs. Because the schedules present only a selected portion of the operations of HAWC, they are not intended to and do not present the financial position, changes in net assets, or cash flows of HAWC. De Minimis Rate Used: Y Rate Explanation: The Auditee has elected to use an indirect cost rate. In February 2023, the LLC received a U. S. Department of Housing and Urban Development loan passed through City of Houston under Section 3205 of the American Rescue Plan Act of 2021 for a HOME Investments Partnership ARP Program. HAWC and the LLC received no additional loans during the year. The balance of the loan outstanding at December 31, 2023 is reported in the schedule of expenditures of federal awards under Assistance Listing #14.239 in the amount of $7,738,070.

Finding Details

Finding 2023-002
Finding #2023-002 – Significant Deficiency and Other Noncompliance. U. S. Department of Housing and Urban Development, Passed through City of Houston, HOME Investment Partnerships Program, Assistance Listing #: 14.239. Contract period: 02/17/23 – 02/16/40. Criteria: Prime and subcontractors are required to be reported on the Section 3 Utilization Plan and the MWSBE Utilization Plan by HAWC. Condition and context: During our testing of 6 subcontractors out of 55 for proper inclusion in the Section 3 Utilization Plan and the MWSBE Utilization Plan, we identified one subcontractor was not included on the reports in a timely manner. Cause: HAWC engaged the construction company to provide the required reporting for the Section 3 Utilization Plan and the MWSBE Utilization Plan. The construction company had overlooked filing the reports in the month the subcontractor was utilized (June 2023), but subsequently identified the error and filed the August 2023 report with the subcontractor included. Effect: The Section 3 Utilization Plan and MWSBE Utilization Plan reports were incomplete in June 2023. Recommendation: Provide additional independent reviews of the Section 3 Utilization Plan and MWSBE Utilization Plan reports. Views of responsible officials and planned corrective actions: Management agrees with the finding. See Corrective Action Plan.
Finding 2023-003
Finding #2023-003 – Significant Deficiency. U. S. Department of the Treasury, Passed through Texas Department of Housing and Community Affairs, Emergency Rental Assistance Program, Assistance Listing #: 21.023, Contract #: 20220000030, Contract period: 03/01/22 – 07/31/25. Criteria: Eligibility – HAWC is responsible for having internal control procedures over the review of client files to ensure the completeness of required documents in the client files and accuracy of information in the client database. Condition and context: HAWC’s policies and procedures for verifying the completeness of eligibility documentation includes the completion of a client file review with an internal reviewer’s signature evidencing their review. In our testing of a sample of 40 clients, we noted one client file for services provided that did not have the signature of an internal reviewer. We noted that the eligibility files did not include the required documentation. Cause: The finding occurred as a result of HAWC not following its internal control procedures requiring review of documentation to ensure the client files are complete with eligibility documentation and the information entered in the client database is accurate. Effect: Failure to follow internal control procedures could result in incomplete client files, errors in the client database, and ineligible persons served. Recommendation: Provide additional staff training to ensure that HAWC’s internal control procedures that require review of client files are followed. Views of responsible officials and planned corrective actions: Management agrees with the finding. See Corrective Action Plan.
Finding 2023-002
Finding #2023-002 – Significant Deficiency and Other Noncompliance. U. S. Department of Housing and Urban Development, Passed through City of Houston, HOME Investment Partnerships Program, Assistance Listing #: 14.239. Contract period: 02/17/23 – 02/16/40. Criteria: Prime and subcontractors are required to be reported on the Section 3 Utilization Plan and the MWSBE Utilization Plan by HAWC. Condition and context: During our testing of 6 subcontractors out of 55 for proper inclusion in the Section 3 Utilization Plan and the MWSBE Utilization Plan, we identified one subcontractor was not included on the reports in a timely manner. Cause: HAWC engaged the construction company to provide the required reporting for the Section 3 Utilization Plan and the MWSBE Utilization Plan. The construction company had overlooked filing the reports in the month the subcontractor was utilized (June 2023), but subsequently identified the error and filed the August 2023 report with the subcontractor included. Effect: The Section 3 Utilization Plan and MWSBE Utilization Plan reports were incomplete in June 2023. Recommendation: Provide additional independent reviews of the Section 3 Utilization Plan and MWSBE Utilization Plan reports. Views of responsible officials and planned corrective actions: Management agrees with the finding. See Corrective Action Plan.
Finding 2023-003
Finding #2023-003 – Significant Deficiency. U. S. Department of the Treasury, Passed through Texas Department of Housing and Community Affairs, Emergency Rental Assistance Program, Assistance Listing #: 21.023, Contract #: 20220000030, Contract period: 03/01/22 – 07/31/25. Criteria: Eligibility – HAWC is responsible for having internal control procedures over the review of client files to ensure the completeness of required documents in the client files and accuracy of information in the client database. Condition and context: HAWC’s policies and procedures for verifying the completeness of eligibility documentation includes the completion of a client file review with an internal reviewer’s signature evidencing their review. In our testing of a sample of 40 clients, we noted one client file for services provided that did not have the signature of an internal reviewer. We noted that the eligibility files did not include the required documentation. Cause: The finding occurred as a result of HAWC not following its internal control procedures requiring review of documentation to ensure the client files are complete with eligibility documentation and the information entered in the client database is accurate. Effect: Failure to follow internal control procedures could result in incomplete client files, errors in the client database, and ineligible persons served. Recommendation: Provide additional staff training to ensure that HAWC’s internal control procedures that require review of client files are followed. Views of responsible officials and planned corrective actions: Management agrees with the finding. See Corrective Action Plan.