FAC Explorer

Audit 320468

FY End
2023-12-31
Total Expended
$2.07M
Findings
4
Programs
4
Organization: Sawyer County Housing Authority (WI)
Year: 2023 Accepted: 2024-09-23
Auditor: Cliftonlarsonallen LLP

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
497898 2023-001 Significant Deficiency - N
497899 2023-002 Significant Deficiency - AB
1074340 2023-001 Significant Deficiency - N
1074341 2023-002 Significant Deficiency - AB

Programs

ALN Program Spent Major Findings
14.871 Section 8 Housing Choice Vouchers $944,944 - 0
10.415 Rural Rental Housing Loans $696,013 - 0
14.182 Section 8 New Construction and Substantial Rehabilitation $299,619 Yes 2
21.027 Coronavirus State and Local Fiscal Recovery Funds $80,000 - 0

Contacts

Name Title Type
PWJMLLKYVLF5 Sheila Young Auditee
7156344280 Mary Reedy Auditor
No contacts on file

Notes to SEFA

Accounting Policies: NOTE 1 BASIS OF PRESENTATION The accompanying schedule of expenditures of federal awards presents the expenditures of all federal financial assistance programs of the Authority for the year ended December 31, 2023. The reporting entity is defined in Note 1 to the Authority’s financial statements. All federal financial assistance received directly from federal agencies as well as federal financial assistance passed through other government agencies is included on the schedule. The Authority did not pass any federal award money to subrecipients during the fiscal year. The information in this schedule is presented in accordance with the requirements of 2 CFR Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance). Because the schedule presents only a select portion of the operations of the Authority, it is not intended to and does not present the financial position, changes in net position, or cash flows of the Authority. NOTE 2 SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES The accompanying schedule of expenditures of federal awards is presented using the accrual basis of accounting, which is described in Note 1 to the Authority’s financial statements. Such expenditures are recognized following the cost principles contained in the Uniform Guidance. The Authority has not elected to use the 10% de minimis in direct costs rate as allowed under Uniform Guidance. NOTE 3 DISCLOSURE OF OTHER FORMS OF ASSISTANCE The Authority has guaranteed debt in Rural Rental Housing loans in the amount of $664,948 as of December 31, 2023. The Authority had noncash assistance in the form of an interest subsidy in the amount of $51,591 from Rural Rental Housing Loans during the year ended December 31, 2023. De Minimis Rate Used: N Rate Explanation: The Authority has not elected to use the 10% de minimis in direct costs rate as allowed under Uniform Guidance.

Finding Details

Finding 2023-001
Federal Agency: U.S. Department of Housing and Urban Development Federal Program Name: Housing Voucher Cluster Assistance Listing Number: 14.871 Federal Award Identification Number and Year: WI222VO167 - 2023 Award Period: January 1, 2023 – December 31, 2023 Type of Finding: Significant Deficiency in Internal Control over Compliance Other Matters Criteria or specific requirement: The Housing Choice Voucher Cluster requires that units with failed inspections be reinspected within 30 days. Condition: During our testing, we noted that the entity did not have internal controls over reinspections to verify they were completed within 30 days. Questioned costs: None Context: During our testing we noted 1 out of 8 failed inspections was not reinspected within 30 days. The reinspection was done 32 days after the original inspection. Cause: The Authority did not have time to complete inspection within 30 days but did complete as soon as they were able to. Effect: Noncompliance with HUD requirements. Repeat Finding: No Recommendation: We recommend that Authority implement procedures to verify reinspections done within 30 days. Views of responsible officials: There is no disagreement with the audit finding.
Finding 2023-002
Federal Agency: U.S. Department of Housing and Urban Development Federal Program Name: Housing Voucher Cluster Assistance Listing Number: 14.871 Federal Award Identification Number and Year: WI222VO167 - 2023 Award Period: January 1, 2023 – December 31, 2023 Type of Finding: Significant Deficiency in Internal Control over Compliance Other Matters Criteria or specific requirement: 2 CFR Part 200 Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Award requires time and effort documentation for all individuals whose time is coded to the federal grants. Condition: During our testing we noted that the organization is allocating payroll costs based on time allocation determined several years ago and did not have time and effort documentation to verify actual time spent agrees on federal program agrees to the allocation being used. Questioned costs: Unknown Context: Allocations of employee time to grants are set up at the beginning of the year and are not changed during the year. Organization has 4 employees who keep time sheet simply for tracking attendance and time off. These employees work the same hours and programs every week so detailed time sheet tracking is not considered necessary. Since they have small staff the bookkeeper who does the payroll and Executive Director know what hours are being worked and paid for as they would know if employee is absent. Maintenance person maintains timesheet listing what property work was performed at to code time to specific programs. Cause: The client has been using allocation determined several years ago since responsibilities of staff have not changed. Effect: Noncompliance with HUD requirements. Repeat Finding: No Recommendation: We recommend, the entity develop a method to track actual time spent on various programs to time allocated to federal award programs. Views of responsible officials: There is no disagreement with the audit finding.
Finding 2023-001
Federal Agency: U.S. Department of Housing and Urban Development Federal Program Name: Housing Voucher Cluster Assistance Listing Number: 14.871 Federal Award Identification Number and Year: WI222VO167 - 2023 Award Period: January 1, 2023 – December 31, 2023 Type of Finding: Significant Deficiency in Internal Control over Compliance Other Matters Criteria or specific requirement: The Housing Choice Voucher Cluster requires that units with failed inspections be reinspected within 30 days. Condition: During our testing, we noted that the entity did not have internal controls over reinspections to verify they were completed within 30 days. Questioned costs: None Context: During our testing we noted 1 out of 8 failed inspections was not reinspected within 30 days. The reinspection was done 32 days after the original inspection. Cause: The Authority did not have time to complete inspection within 30 days but did complete as soon as they were able to. Effect: Noncompliance with HUD requirements. Repeat Finding: No Recommendation: We recommend that Authority implement procedures to verify reinspections done within 30 days. Views of responsible officials: There is no disagreement with the audit finding.
Finding 2023-002
Federal Agency: U.S. Department of Housing and Urban Development Federal Program Name: Housing Voucher Cluster Assistance Listing Number: 14.871 Federal Award Identification Number and Year: WI222VO167 - 2023 Award Period: January 1, 2023 – December 31, 2023 Type of Finding: Significant Deficiency in Internal Control over Compliance Other Matters Criteria or specific requirement: 2 CFR Part 200 Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Award requires time and effort documentation for all individuals whose time is coded to the federal grants. Condition: During our testing we noted that the organization is allocating payroll costs based on time allocation determined several years ago and did not have time and effort documentation to verify actual time spent agrees on federal program agrees to the allocation being used. Questioned costs: Unknown Context: Allocations of employee time to grants are set up at the beginning of the year and are not changed during the year. Organization has 4 employees who keep time sheet simply for tracking attendance and time off. These employees work the same hours and programs every week so detailed time sheet tracking is not considered necessary. Since they have small staff the bookkeeper who does the payroll and Executive Director know what hours are being worked and paid for as they would know if employee is absent. Maintenance person maintains timesheet listing what property work was performed at to code time to specific programs. Cause: The client has been using allocation determined several years ago since responsibilities of staff have not changed. Effect: Noncompliance with HUD requirements. Repeat Finding: No Recommendation: We recommend, the entity develop a method to track actual time spent on various programs to time allocated to federal award programs. Views of responsible officials: There is no disagreement with the audit finding.