FAC Explorer

Audit 323476

FY End
2023-12-31
Total Expended
$1.16M
Findings
2
Programs
3
Organization: Church Housing for Fairfield, Inc. (CT)
Year: 2023 Accepted: 2024-10-01
Auditor: Carney Roy and Gerrol PC

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
501204 2023-001 Significant Deficiency Yes EN
1077646 2023-001 Significant Deficiency Yes EN

Programs

ALN Program Spent Major Findings
14.855 Section 8 Rental Voucher Program $1.09M Yes 1
14.191 Multifamily Housing Service Coordinators $51,078 - 0
14.218 Community Development Block Grants/entitlement Grants $15,000 - 0

Contacts

Name Title Type
CL3ELLF389G7 M. Scott Powell Auditee
2039726228 Thomas D. Roy Auditor
No contacts on file

Notes to SEFA

Title: NOTE 1 - BASIS OF PRESENTATION Accounting Policies: NOTE 1 - BASIS OF PRESENTATION: The accompanying schedule of expenditures of federal awards includes the federal award activity of Church Housing for Fairfield, Inc., HUD Project No. CT26-H037-005, and is presented on the accrual basis of accounting. 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 Church Housing for Fairfield, Inc., it is not intended to and does not present the financial position, changes in net assets, or cash flows of Church Housing for Fairfield, Inc. NOTE 2 - SUMMARY OF SIGNIFICANT 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 the Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement. Church Housing for Fairfield, Inc. has elected not to use the 10-percent de minimis indirect cost rate allowed under the Uniform Guidance. De Minimis Rate Used: N Rate Explanation: Church Housing for Fairfield, Inc. has elected not to use the 10-percent de minimis indirect cost rate allowed under the Uniform Guidance. Indirect cost rate is n/a, given the nature of the specific federal awards as they apply to Church Housing for Fairfield, Inc. The accompanying schedule of expenditures of federal awards includes the federal award activity of Church Housing for Fairfield, Inc., HUD Project No. CT26-H037-005, and is presented on the accrual basis of accounting. 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 Church Housing for Fairfield, Inc., it is not intended to and does not present the financial position, changes in net assets, or cash flows of Church Housing for Fairfield, Inc.
Title: NOTE 2 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Accounting Policies: NOTE 1 - BASIS OF PRESENTATION: The accompanying schedule of expenditures of federal awards includes the federal award activity of Church Housing for Fairfield, Inc., HUD Project No. CT26-H037-005, and is presented on the accrual basis of accounting. 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 Church Housing for Fairfield, Inc., it is not intended to and does not present the financial position, changes in net assets, or cash flows of Church Housing for Fairfield, Inc. NOTE 2 - SUMMARY OF SIGNIFICANT 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 the Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement. Church Housing for Fairfield, Inc. has elected not to use the 10-percent de minimis indirect cost rate allowed under the Uniform Guidance. De Minimis Rate Used: N Rate Explanation: Church Housing for Fairfield, Inc. has elected not to use the 10-percent de minimis indirect cost rate allowed under the Uniform Guidance. Indirect cost rate is n/a, given the nature of the specific federal awards as they apply to Church Housing for Fairfield, Inc. Expenditures reported on the 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. Church Housing for Fairfield, Inc. has elected not to use the 10-percent de minimis indirect cost rate allowed under the Uniform Guidance.

Finding Details

Finding 2023-001
FINDING 2023-001 (CORRECTIVE ACTION COMPLETED) Questioned Costs: Not quantifiable given the nature of the finding Population Size: 24 monthly EIV reports Sample Size: 24 monthly EIV reports Noncompliance Information: 4 monthly EIV reports Condition: The Organization did not retain a printed and dated copy of the Failed Verification and Failed EIV Prescreen reports for two out of twelve months of the year. This is a finding of noncompliance and a finding of significant deficiencies in internal control over this compliance area. Criteria: HUD Handbook 4350.3 REV-1 requires that the Organization, on a monthly basis, use the Failed Verification and Failed EIV Prescreen reports from the EIV system. It also requires that the Organization print and retain these reports in a master file. Cause: Management experienced technical difficulties while attempting to access the EIV system and did not obtain and print the reports accordingly. Effect or Potential Effect: The Organization was not in compliance with the requirements of HUD, and the risk of not having timely subsidy-related information from the EIV system was increased. Accordingly, the risk of an improper housing assistance payment was potentially increased. Recommendations (2023-001-a): We recommend that management reevaluate its system and procedures to ensure that the required reports are printed and retained on the required schedule with clear dates of printing, going forward. View of Responsible Officials: Management concurs with this finding and agrees with the auditor’s recommendation. Management will reevaluate its system to ensure future compliance and considers corrective action to be completed.
Finding 2023-001
FINDING 2023-001 (CORRECTIVE ACTION COMPLETED) Questioned Costs: Not quantifiable given the nature of the finding Population Size: 24 monthly EIV reports Sample Size: 24 monthly EIV reports Noncompliance Information: 4 monthly EIV reports Condition: The Organization did not retain a printed and dated copy of the Failed Verification and Failed EIV Prescreen reports for two out of twelve months of the year. This is a finding of noncompliance and a finding of significant deficiencies in internal control over this compliance area. Criteria: HUD Handbook 4350.3 REV-1 requires that the Organization, on a monthly basis, use the Failed Verification and Failed EIV Prescreen reports from the EIV system. It also requires that the Organization print and retain these reports in a master file. Cause: Management experienced technical difficulties while attempting to access the EIV system and did not obtain and print the reports accordingly. Effect or Potential Effect: The Organization was not in compliance with the requirements of HUD, and the risk of not having timely subsidy-related information from the EIV system was increased. Accordingly, the risk of an improper housing assistance payment was potentially increased. Recommendations (2023-001-a): We recommend that management reevaluate its system and procedures to ensure that the required reports are printed and retained on the required schedule with clear dates of printing, going forward. View of Responsible Officials: Management concurs with this finding and agrees with the auditor’s recommendation. Management will reevaluate its system to ensure future compliance and considers corrective action to be completed.