Audit 315693

FY End
2022-12-31
Total Expended
$5.63M
Findings
2
Programs
4
Year: 2022 Accepted: 2024-07-23

Organization Exclusion Status:

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Findings

ID Ref Severity Repeat Requirement
479165 2022-001 Significant Deficiency - N
1055607 2022-001 Significant Deficiency - N

Contacts

Name Title Type
NQX7WG88CJL5 Kristin Narverud Auditee
6127295171 Darren Fetzer Auditor
No contacts on file

Notes to SEFA

Title: Basis of Presentation Accounting Policies: (1) Expenditures reported on this Schedule are reported on the accrual basis of accounting, except for the loan balances as discussed below. 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. (2) Pass-through entity identifying numbers are presented where available. De Minimis Rate Used: N Rate Explanation: Auditee did not use the de minimis cost rate. This schedule of expenditures of federal awards (the Schedule) includes the federal grant activity of Little Earth of United Tribes Housing Corporation under programs of the federal government for the year ended December 31, 2022. 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 (the Uniform Guidance). Because the Schedule presents only a selected portion of the operations of Little Earth of United Tribes Housing Corporation, it is not intended to and does not present the financial position, changes in net assets, or cash flows of Little Earth of United Tribes Housing Corporation.
Title: Loans Accounting Policies: (1) Expenditures reported on this Schedule are reported on the accrual basis of accounting, except for the loan balances as discussed below. 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. (2) Pass-through entity identifying numbers are presented where available. De Minimis Rate Used: N Rate Explanation: Auditee did not use the de minimis cost rate. Expenditures reported for the loans with continuing compliance requirements represent the December 31, 2021 balance of an insured mortgage loan outstanding from a previous year for which the grantor imposes continuing compliance requirements. The balance of the loans outstanding as of December 31, 2022 is $2,600,000.

Finding Details

Finding 2022-001 - Replacement Reserve Deposits Assistance Listing Number 14.195 - Section 8 Housing Assistance Payments Program Federal Award Finding Criteria - Pursuant to the Corporation’s Regulatory Agreement with the Department of Housing and Urban Development (HUD), 12 monthly deposits of $17,617 are required into the replacement reserve (annually $211,404). Condition - The Corporation only made 10 monthly deposits ($176,170) into the replacement reserve in 2022. Effect - The replacement reserve is underfunded by $35,234. Cause - Monthly invoices for the replacement reserve deposits were not received. Recommendation - The Corporation should make an additional deposit to the replacement reserve of $35,234 in 2023. Auditee’s comments and response - Management will make an additional deposit to the replacement reserve of $35,234 in 2023. Status - Unresolved
Finding 2022-001 - Replacement Reserve Deposits Assistance Listing Number 14.195 - Section 8 Housing Assistance Payments Program Federal Award Finding Criteria - Pursuant to the Corporation’s Regulatory Agreement with the Department of Housing and Urban Development (HUD), 12 monthly deposits of $17,617 are required into the replacement reserve (annually $211,404). Condition - The Corporation only made 10 monthly deposits ($176,170) into the replacement reserve in 2022. Effect - The replacement reserve is underfunded by $35,234. Cause - Monthly invoices for the replacement reserve deposits were not received. Recommendation - The Corporation should make an additional deposit to the replacement reserve of $35,234 in 2023. Auditee’s comments and response - Management will make an additional deposit to the replacement reserve of $35,234 in 2023. Status - Unresolved