Title: Note 3
Accounting Policies: The schedule of expenditures of federal awards is prepared on the accrual basis of accounting.
De Minimis Rate Used: N
Rate Explanation: The Corporation has elected to not use the 10% de minimis cost rate.
The balance of the HUD Capital Advance Grant as of June 30, 2024 is $1,805,200.
Finding reference number: 2024-001
Assistance Listing (Federal award identification number and year): Supportive Housing for the Elderly, Assistance Listing 14.157 (073-EE112-NP-WAH and 2008)
Auditor non-compliance code: Z-Other
Finding resolution status: Resolved
Universe population size: 1 rejection letter
Sample size information: 1 rejection letter
Statistically valid sample: Yes
Name of Federal agency: U.S. Department of Housing and Urban Development
Pass-through entity: N/A
Questioned costs: N/A
Statement of condition 2024-001: During the year ended June 30, 2024, the rejection letter selected for testing under the compliance supplement was missing necessary documents required by the PRAC and HUD Handbook 4350.3.
Criteria: In accordance with the PRAC and HUD Handbook 4350.3, the Property must retain the rejection letter documentation to support applicants were rejected in accordance with the PRAC and HUD Handbook.
Effect: The Community is not in compliance with the terms of the PRAC or HUD Handbook 4350.3.
Cause: The prior property manager discarded the selected rejection letter and it was not available for review.
Recommendation: Management should ensure that all rejection letters are maintained at the site of the Property in accordance with the HUD Handbook 4350.3.
Management's response: Agree. Management agrees with the recommendation and will ensure that rejection letters are retained in accordance with the HUD Handbook 4350.3.
Finding reference number: 2024-001
Assistance Listing (Federal award identification number and year): Supportive Housing for the Elderly, Assistance Listing 14.157 (073-EE112-NP-WAH and 2008)
Auditor non-compliance code: Z-Other
Finding resolution status: Resolved
Universe population size: 1 rejection letter
Sample size information: 1 rejection letter
Statistically valid sample: Yes
Name of Federal agency: U.S. Department of Housing and Urban Development
Pass-through entity: N/A
Questioned costs: N/A
Statement of condition 2024-001: During the year ended June 30, 2024, the rejection letter selected for testing under the compliance supplement was missing necessary documents required by the PRAC and HUD Handbook 4350.3.
Criteria: In accordance with the PRAC and HUD Handbook 4350.3, the Property must retain the rejection letter documentation to support applicants were rejected in accordance with the PRAC and HUD Handbook.
Effect: The Community is not in compliance with the terms of the PRAC or HUD Handbook 4350.3.
Cause: The prior property manager discarded the selected rejection letter and it was not available for review.
Recommendation: Management should ensure that all rejection letters are maintained at the site of the Property in accordance with the HUD Handbook 4350.3.
Management's response: Agree. Management agrees with the recommendation and will ensure that rejection letters are retained in accordance with the HUD Handbook 4350.3.
Finding reference number: 2024-001
Assistance Listing (Federal award identification number and year): Supportive Housing for the Elderly, Assistance Listing 14.157 (073-EE112-NP-WAH and 2008)
Auditor non-compliance code: Z-Other
Finding resolution status: Resolved
Universe population size: 1 rejection letter
Sample size information: 1 rejection letter
Statistically valid sample: Yes
Name of Federal agency: U.S. Department of Housing and Urban Development
Pass-through entity: N/A
Questioned costs: N/A
Statement of condition 2024-001: During the year ended June 30, 2024, the rejection letter selected for testing under the compliance supplement was missing necessary documents required by the PRAC and HUD Handbook 4350.3.
Criteria: In accordance with the PRAC and HUD Handbook 4350.3, the Property must retain the rejection letter documentation to support applicants were rejected in accordance with the PRAC and HUD Handbook.
Effect: The Community is not in compliance with the terms of the PRAC or HUD Handbook 4350.3.
Cause: The prior property manager discarded the selected rejection letter and it was not available for review.
Recommendation: Management should ensure that all rejection letters are maintained at the site of the Property in accordance with the HUD Handbook 4350.3.
Management's response: Agree. Management agrees with the recommendation and will ensure that rejection letters are retained in accordance with the HUD Handbook 4350.3.
Finding reference number: 2024-001
Assistance Listing (Federal award identification number and year): Supportive Housing for the Elderly, Assistance Listing 14.157 (073-EE112-NP-WAH and 2008)
Auditor non-compliance code: Z-Other
Finding resolution status: Resolved
Universe population size: 1 rejection letter
Sample size information: 1 rejection letter
Statistically valid sample: Yes
Name of Federal agency: U.S. Department of Housing and Urban Development
Pass-through entity: N/A
Questioned costs: N/A
Statement of condition 2024-001: During the year ended June 30, 2024, the rejection letter selected for testing under the compliance supplement was missing necessary documents required by the PRAC and HUD Handbook 4350.3.
Criteria: In accordance with the PRAC and HUD Handbook 4350.3, the Property must retain the rejection letter documentation to support applicants were rejected in accordance with the PRAC and HUD Handbook.
Effect: The Community is not in compliance with the terms of the PRAC or HUD Handbook 4350.3.
Cause: The prior property manager discarded the selected rejection letter and it was not available for review.
Recommendation: Management should ensure that all rejection letters are maintained at the site of the Property in accordance with the HUD Handbook 4350.3.
Management's response: Agree. Management agrees with the recommendation and will ensure that rejection letters are retained in accordance with the HUD Handbook 4350.3.