FAC Explorer

Audit 320023

FY End
2023-12-31
Total Expended
$797,170
Findings
2
Programs
3
Organization: Barnesville Housing Authority (GA)
Year: 2023 Accepted: 2024-09-19
Auditor: Phillip C Jarrell LLC

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
497327 2023-002 Material Weakness - A
1073769 2023-002 Material Weakness - A

Programs

ALN Program Spent Major Findings
14.850 Public and Indian Housing $424,190 Yes 1
14.872 Public Housing Capital Fund $225,250 - 0
14.182 Section 8 New Construction and Substantial Rehabilitation $147,730 - 0

Contacts

Name Title Type
F74KFVD6UXV5 Ginger Moats Auditee
7703583935 Phillip Jarrell 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 Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards, wherein certain types of expenditures are not allowable or are limited as to reimbursement. Negative amounts shown on the Schedule represent adjustments or credits made in the normal course of business to amounts reported as expenditures in prior year. De Minimis Rate Used: N Rate Explanation: The Authority is not reimbursed for indirect costs under any of its federal Awards and does not use the 10 percent de minimis indirect cost rate allowed under the Uniform Guidance or any other indirect cost rate. The accompanying schedule of expenditure of federal awards (the “Schedule”) includes the federal grant activity of the Authority under programs of the federal government for the year ended December 31, 2023. 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 the Authority, it is not intended to and does not present the financial position, changes in net assets, or cash flows of the Authority.

Finding Details

Finding 2023-002
Finding No. 2023-002 Noncompliance with Activities Allowed or Unallowed (Public Housing Program ALN 14.850) Criteria: Uniform Guidance and HUD Regulations require the Authority to establish an effective cost allocation for indirect costs and charge direct costs to each program that the costs are allocable to. For shared costs paid out of the Public Housing Program, reimbursements should be made to the Public Housing Program on a timely basis. Condition: During the year, the Authority paid for all of the Gas usage for the Section 8- New Construction Units and all of the workers compensation premiums out of Public Housing. Other indirect costs that were properly allocated and paid for by Public Housing was not timely reimbursed to Public Housing. The total due to Public Housing from the Section 8-New Construction program as of December 31, 2023 was $175,191. Questioned Costs: $36,083 Effect: The Authority did not properly follow the requirements of the Uniform Guidance in relation to Cost Principles specified within 2 CFR Part 200 Subpart E. Cause: The Authority’s staff did not have an adequate understanding of accounting principles whereby costs of each individual program were either charged directly or indirectly to the appropriate program. The Authority did not make timely reimbursements for allocated costs paid by its Public Housing Program for its Section 8 – New Construction Program. Recommendation: The Authority’s staff should familiarize themselves with requirements of the Uniform Guidance as it related to Cost Principles. Management Response: Management will ensure that future program costs are reviewed to determine whether each cost is either a direct cost or indirect cost and have it charged to the appropriate program.
Finding 2023-002
Finding No. 2023-002 Noncompliance with Activities Allowed or Unallowed (Public Housing Program ALN 14.850) Criteria: Uniform Guidance and HUD Regulations require the Authority to establish an effective cost allocation for indirect costs and charge direct costs to each program that the costs are allocable to. For shared costs paid out of the Public Housing Program, reimbursements should be made to the Public Housing Program on a timely basis. Condition: During the year, the Authority paid for all of the Gas usage for the Section 8- New Construction Units and all of the workers compensation premiums out of Public Housing. Other indirect costs that were properly allocated and paid for by Public Housing was not timely reimbursed to Public Housing. The total due to Public Housing from the Section 8-New Construction program as of December 31, 2023 was $175,191. Questioned Costs: $36,083 Effect: The Authority did not properly follow the requirements of the Uniform Guidance in relation to Cost Principles specified within 2 CFR Part 200 Subpart E. Cause: The Authority’s staff did not have an adequate understanding of accounting principles whereby costs of each individual program were either charged directly or indirectly to the appropriate program. The Authority did not make timely reimbursements for allocated costs paid by its Public Housing Program for its Section 8 – New Construction Program. Recommendation: The Authority’s staff should familiarize themselves with requirements of the Uniform Guidance as it related to Cost Principles. Management Response: Management will ensure that future program costs are reviewed to determine whether each cost is either a direct cost or indirect cost and have it charged to the appropriate program.