FAC Explorer

Audit 322229

FY End
2023-12-31
Total Expended
$7.28M
Findings
6
Programs
7
Organization: Housing and Redevelopment Authority of Clay County (MN)
Year: 2023 Accepted: 2024-09-30
Auditor: Brady Martz & Associates PC

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
499363 2023-001 Significant Deficiency Yes L
499364 2023-001 Significant Deficiency Yes L
499365 2023-001 Significant Deficiency Yes L
1075805 2023-001 Significant Deficiency Yes L
1075806 2023-001 Significant Deficiency Yes L
1075807 2023-001 Significant Deficiency Yes L

Programs

ALN Program Spent Major Findings
14.879 Mainstream Vouchers $1.35M Yes 1
14.267 Continuum of Care Program $634,747 - 0
14.871 Section 8 Housing Choice Vouchers $107,468 Yes 1
14.896 Family Self-Sufficiency Program $98,807 - 0
14.218 Community Development Block Grants/entitlement Grants $59,800 - 0
10.415 Rural Rental Housing Loans $43,430 - 0
14.195 Project-Based Rental Assistance (pbra) $40,149 - 0

Contacts

Name Title Type
GCSJYGM5JR75 Dara Lee Auditee
2182338883 Brian Opsahl Auditor
No contacts on file

Notes to SEFA

Title: BASIS OF PRESENTATION Accounting Policies: Expenditures reported on the accompanying schedule of expenditures of federal awards (Schedule) are reported on the accrual basis of accounting. 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. Negative amounts shown on the Schedule represent adjustments or credits made in the normal course of business to amounts reported as expenditures in prior years. De Minimis Rate Used: N Rate Explanation: The Authority has not elected to use the 10-percent de minimis indirect cost rate as allowed under the Uniform Guidance. The Schedule includes the federal award 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. 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 position, or cash flows of the Authority.
Title: DISCLOSURE OF OTHER FORMS OF ASSISTANCE Accounting Policies: Expenditures reported on the accompanying schedule of expenditures of federal awards (Schedule) are reported on the accrual basis of accounting. 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. Negative amounts shown on the Schedule represent adjustments or credits made in the normal course of business to amounts reported as expenditures in prior years. De Minimis Rate Used: N Rate Explanation: The Authority has not elected to use the 10-percent de minimis indirect cost rate as allowed under the Uniform Guidance. The Authority has guaranteed debt in the Rural Rental Housing Loans (AL 10.415) in the amount of $35,976 as of December 31, 2023.

Finding Details

Finding 2023-001
Federal Program U.S. Department of Housing and Urban Development AL #14.871 & 14.879 – Significant Deficiency Grant Award No. MN164-Housing Choice Voucher & MN164-Mainstream Voucher Federal Award Year 2023 Criteria In accordance with Uniform Financial Reporting Standards (UFRS) (24 CFR section 5.801), the Authority must submit its unaudited Financial Data Schedule (FDS) electronically to the HUD Real Estate Assessment Center (REAC) within two months after its fiscal year end. Condition During our testing, it was noted that the Authority’s unaudited FDS was not submitted timely. Questioned Costs None Context N/A Effect The Authority is not in compliance with HUD reporting requirements. Cause Reconciliations were not performed in a timely manner to allow for all unaudited and auditing procedures to be performed in a time to submit the report within the prescribed requirements. Repeat Finding Repeat finding of 2022-001. Recommendation We recommend that the Authority ensure records are reconciled and available within a timely manner to ensure the Authority’s compliance with reporting requirements. Views of Responsible Officials The Authority recognizes the deficiency and plans to implement the auditor’s recommendation.
Finding 2023-001
Federal Program U.S. Department of Housing and Urban Development AL #14.871 & 14.879 – Significant Deficiency Grant Award No. MN164-Housing Choice Voucher & MN164-Mainstream Voucher Federal Award Year 2023 Criteria In accordance with Uniform Financial Reporting Standards (UFRS) (24 CFR section 5.801), the Authority must submit its unaudited Financial Data Schedule (FDS) electronically to the HUD Real Estate Assessment Center (REAC) within two months after its fiscal year end. Condition During our testing, it was noted that the Authority’s unaudited FDS was not submitted timely. Questioned Costs None Context N/A Effect The Authority is not in compliance with HUD reporting requirements. Cause Reconciliations were not performed in a timely manner to allow for all unaudited and auditing procedures to be performed in a time to submit the report within the prescribed requirements. Repeat Finding Repeat finding of 2022-001. Recommendation We recommend that the Authority ensure records are reconciled and available within a timely manner to ensure the Authority’s compliance with reporting requirements. Views of Responsible Officials The Authority recognizes the deficiency and plans to implement the auditor’s recommendation.
Finding 2023-001
Federal Program U.S. Department of Housing and Urban Development AL #14.871 & 14.879 – Significant Deficiency Grant Award No. MN164-Housing Choice Voucher & MN164-Mainstream Voucher Federal Award Year 2023 Criteria In accordance with Uniform Financial Reporting Standards (UFRS) (24 CFR section 5.801), the Authority must submit its unaudited Financial Data Schedule (FDS) electronically to the HUD Real Estate Assessment Center (REAC) within two months after its fiscal year end. Condition During our testing, it was noted that the Authority’s unaudited FDS was not submitted timely. Questioned Costs None Context N/A Effect The Authority is not in compliance with HUD reporting requirements. Cause Reconciliations were not performed in a timely manner to allow for all unaudited and auditing procedures to be performed in a time to submit the report within the prescribed requirements. Repeat Finding Repeat finding of 2022-001. Recommendation We recommend that the Authority ensure records are reconciled and available within a timely manner to ensure the Authority’s compliance with reporting requirements. Views of Responsible Officials The Authority recognizes the deficiency and plans to implement the auditor’s recommendation.
Finding 2023-001
Federal Program U.S. Department of Housing and Urban Development AL #14.871 & 14.879 – Significant Deficiency Grant Award No. MN164-Housing Choice Voucher & MN164-Mainstream Voucher Federal Award Year 2023 Criteria In accordance with Uniform Financial Reporting Standards (UFRS) (24 CFR section 5.801), the Authority must submit its unaudited Financial Data Schedule (FDS) electronically to the HUD Real Estate Assessment Center (REAC) within two months after its fiscal year end. Condition During our testing, it was noted that the Authority’s unaudited FDS was not submitted timely. Questioned Costs None Context N/A Effect The Authority is not in compliance with HUD reporting requirements. Cause Reconciliations were not performed in a timely manner to allow for all unaudited and auditing procedures to be performed in a time to submit the report within the prescribed requirements. Repeat Finding Repeat finding of 2022-001. Recommendation We recommend that the Authority ensure records are reconciled and available within a timely manner to ensure the Authority’s compliance with reporting requirements. Views of Responsible Officials The Authority recognizes the deficiency and plans to implement the auditor’s recommendation.
Finding 2023-001
Federal Program U.S. Department of Housing and Urban Development AL #14.871 & 14.879 – Significant Deficiency Grant Award No. MN164-Housing Choice Voucher & MN164-Mainstream Voucher Federal Award Year 2023 Criteria In accordance with Uniform Financial Reporting Standards (UFRS) (24 CFR section 5.801), the Authority must submit its unaudited Financial Data Schedule (FDS) electronically to the HUD Real Estate Assessment Center (REAC) within two months after its fiscal year end. Condition During our testing, it was noted that the Authority’s unaudited FDS was not submitted timely. Questioned Costs None Context N/A Effect The Authority is not in compliance with HUD reporting requirements. Cause Reconciliations were not performed in a timely manner to allow for all unaudited and auditing procedures to be performed in a time to submit the report within the prescribed requirements. Repeat Finding Repeat finding of 2022-001. Recommendation We recommend that the Authority ensure records are reconciled and available within a timely manner to ensure the Authority’s compliance with reporting requirements. Views of Responsible Officials The Authority recognizes the deficiency and plans to implement the auditor’s recommendation.
Finding 2023-001
Federal Program U.S. Department of Housing and Urban Development AL #14.871 & 14.879 – Significant Deficiency Grant Award No. MN164-Housing Choice Voucher & MN164-Mainstream Voucher Federal Award Year 2023 Criteria In accordance with Uniform Financial Reporting Standards (UFRS) (24 CFR section 5.801), the Authority must submit its unaudited Financial Data Schedule (FDS) electronically to the HUD Real Estate Assessment Center (REAC) within two months after its fiscal year end. Condition During our testing, it was noted that the Authority’s unaudited FDS was not submitted timely. Questioned Costs None Context N/A Effect The Authority is not in compliance with HUD reporting requirements. Cause Reconciliations were not performed in a timely manner to allow for all unaudited and auditing procedures to be performed in a time to submit the report within the prescribed requirements. Repeat Finding Repeat finding of 2022-001. Recommendation We recommend that the Authority ensure records are reconciled and available within a timely manner to ensure the Authority’s compliance with reporting requirements. Views of Responsible Officials The Authority recognizes the deficiency and plans to implement the auditor’s recommendation.