FAC Explorer

Audit 319939

FY End
2023-12-31
Total Expended
$965,740
Findings
2
Programs
4
Organization: Webster Housing Authority (MA)
Year: 2023 Accepted: 2024-09-18
Auditor: Marcum LLP

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
497298 2023-001 Significant Deficiency - N
1073740 2023-001 Significant Deficiency - N

Programs

ALN Program Spent Major Findings
14.871 Section 8 Housing Choice Vouchers $447,434 Yes 1
14.850 Public Housing Operating Fund $331,979 - 0
21.027 Coronavirus State and Local Fiscal Recovery Funds $115,668 - 0
14.872 Public Housing Capital Fund $70,659 - 0

Contacts

Name Title Type
EY9SVNLXMD39 Angie Medeiros Auditee
5089431634 Michael Guyder Auditor
No contacts on file

Notes to SEFA

Accounting Policies: NOTE 1 – BASIS OF PRESENTATION The accompanying schedule of expenditures of federal awards (the schedule) includes the federal grant activity of Webster Housing Authority, under programs of the federal government for the year ended December 31, 2023. The information in the schedule is presented in accordance with the requirements of Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirement, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance). Because the schedule presents only a selected portion of the operations of Webster Housing Authority, it is not intended to and does not present the financial position, changes in net position or cash flows of Webster Housing Authority. NOTE 2 – SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Expenditures reported on the schedule are reported on the accrual basis of accounting. For cost-reimbursement awards, 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. For performance-based awards, expenditures reported represent amounts earned. De Minimis Rate Used: N Rate Explanation: The Webster Housing Authority has elected not to use the 10% de minimis indirect cost rate allowed under the Uniform Guidance.

Finding Details

Finding 2023-001
2023-001 – SPECIAL TESTS AND PROVISIONS: GENERAL DEPOSITORY AGREEMENTS Significant Deficiency/Noncompliance U.S. Department of Housing and Urban Development ALN #:14.871 – Housing Voucher Cluster CRITERIA PHAs are required to enter into depository agreements with their financial institutions in the form required by HUD. The agreements serve as safeguards for federal funds and provide third party rights to HUD. Among the terms in many agreements are requirements for funds to be placed in an interest-bearing account (24CFR section 982.156). CONDITION As a result of our audit, we identified that the Authority does not have an executed General Depository Agreement on file for all depositories of federal funds. CAUSE The Authority experienced few turnovers including its Executive Director position, due to which certain documentation and information could not be located by the Authority personnel. EFFECT The covenants set forth by the General Depository Agreement have not been conveyed to and agreed upon by the Authority and its financial institutions. QUESTIONED COSTS None identified. CONTEXT The Authority does not have an executed General Depository Agreement on file for all depositories of federal funds. REPEAT FINDING This is not a repeat finding. RECOMMENDATION We recommend that the Authority obtain signed General Depository Agreement in form approved by HUD from their financial institutions with whom they have deposits of federal funds. AUDITEE’S RESPONSE AND PLANNED CORRECTIVE ACTION See Corrective Action Plan.
Finding 2023-001
2023-001 – SPECIAL TESTS AND PROVISIONS: GENERAL DEPOSITORY AGREEMENTS Significant Deficiency/Noncompliance U.S. Department of Housing and Urban Development ALN #:14.871 – Housing Voucher Cluster CRITERIA PHAs are required to enter into depository agreements with their financial institutions in the form required by HUD. The agreements serve as safeguards for federal funds and provide third party rights to HUD. Among the terms in many agreements are requirements for funds to be placed in an interest-bearing account (24CFR section 982.156). CONDITION As a result of our audit, we identified that the Authority does not have an executed General Depository Agreement on file for all depositories of federal funds. CAUSE The Authority experienced few turnovers including its Executive Director position, due to which certain documentation and information could not be located by the Authority personnel. EFFECT The covenants set forth by the General Depository Agreement have not been conveyed to and agreed upon by the Authority and its financial institutions. QUESTIONED COSTS None identified. CONTEXT The Authority does not have an executed General Depository Agreement on file for all depositories of federal funds. REPEAT FINDING This is not a repeat finding. RECOMMENDATION We recommend that the Authority obtain signed General Depository Agreement in form approved by HUD from their financial institutions with whom they have deposits of federal funds. AUDITEE’S RESPONSE AND PLANNED CORRECTIVE ACTION See Corrective Action Plan.