FAC Explorer

Audit 32499

FY End
2022-12-31
Total Expended
$2.92M
Findings
2
Programs
1
Organization: Salem Baptist Church of Atlanta Housing Foundation, Inc. (GA)
Year: 2022 Accepted: 2023-04-23
Auditor: Aprio LLP

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
37991 2022-001 Significant Deficiency - C
614433 2022-001 Significant Deficiency - C

Programs

ALN Program Spent Major Findings
14.157 Supportive Housing for the Elderly $286,727 Yes 0

Contacts

Name Title Type
H8PFW9H5NF48 Denise Crowder Auditee
4048169770 Melissa Dunn Auditor
No contacts on file

Notes to SEFA

Title: Loan/loan guarantee outstanding balances Accounting Policies: Expenditures reported on the Schedule are reported on the accrual basis of accounting. Such expenditures arerecognized following the cost principles contained in OMB Circular A-122, "Cost Principles for Non-ProfitOrganizations" or the cost principles contained in the Uniform Guidance, wherein certain types of expenditures arenot allowable or are limited as to reimbursement. De Minimis Rate Used: N Rate Explanation: The auditee did not use the de minimis cost rate. SUPPORTIVE HOUSING FOR THE ELDERLY (14.157) - Balances outstanding at the end of the audit period were 2629900.
Title: Note 4: Section 202 Capital Advance Accounting Policies: Expenditures reported on the Schedule are reported on the accrual basis of accounting. Such expenditures arerecognized following the cost principles contained in OMB Circular A-122, "Cost Principles for Non-ProfitOrganizations" or the cost principles contained in the Uniform Guidance, wherein certain types of expenditures arenot allowable or are limited as to reimbursement. De Minimis Rate Used: N Rate Explanation: The auditee did not use the de minimis cost rate. Salem Baptist Church of Atlanta Housing Foundation, Inc.'s has received a capital advance under the Section 202Capital Advance program. The full amount received under the capital advance of $2,629,900 is included in thefederal expenditures presented on the Schedule.
Title: Note 1: Basis of Presentation Accounting Policies: Expenditures reported on the Schedule are reported on the accrual basis of accounting. Such expenditures arerecognized following the cost principles contained in OMB Circular A-122, "Cost Principles for Non-ProfitOrganizations" or the cost principles contained in the Uniform Guidance, wherein certain types of expenditures arenot allowable or are limited as to reimbursement. De Minimis Rate Used: N Rate Explanation: The auditee did not use the de minimis cost rate. The accompanying schedule of expenditures of federal awards (the Schedule) includes the federal award activity ofSalem Baptist Church of Atlanta Housing Foundation, Inc. under programs of the federal government for the yearended December 31, 2022. The information in this Schedule is presented in accordance with the requirements ofTitle 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, andAudit Requirements for Federal Awards (Uniform Guidance). Because the Schedule presents only a selectedportion of the operations of Salem Baptist Church of Atlanta Housing Foundation, Inc., it is not intended to anddoes not present the financial position, changes in net assets or cash flows of Salem Baptist Church of AtlantaHousing Foundation, Inc.

Finding Details

Finding 2022-001
Finding Reference Number: 2022-01 Title and Federal Assistance Listing Number of Federal Program: Section 202 Capital Advance and Project Assistance Rental #14.157 Type of Finding: Federal Award Finding Finding Resolution Status: In Process Information on Universe Population Size: Not Applicable Sample Size Information: Not Applicable Identification of Repeat Finding and Finding Reference Number: Not Applicable Criteria: Neither the mortgagor nor its agents shall make any payments for services, supplies, or materials unless such services are actually rendered for the project or such supplies or materials are delivered to the project and are necessary for its operation. Statement of Condition: During the year ended December 31, 2022, the Project paid several expenses on behalf of an adjacent project. Cause: Clerical error of invoices being paid from the wrong cash account. Effect or Potential Effect: Amounts paid on behalf of another project is considered an unauthorized disbursement of Project assets per the Regulatory Agreement. Auditor Non-Compliance Code: Z - Other Questioned Costs: $21,455 Reportable Views of Responsible Officials: Management is in agreement with the finding, and will contact the necessary parties for reimbursement. Context: Not applicable Recommendation: Management should review procedures surrounding the payment of invoices to ensure funds are being drawn from the correct account. Auditors? Summary of the Auditee?s Comments on the Findings and Recommendations: Management will be more diligent about ensuring the accuracy of invoice payments in the future. Response Indicator: Agree Completion Date: 12/31/2023 Response: Management has spoken to the necessary personnel tasked with recording payments of invoices and reemphasized the importance of paying only invoices relevant to the Property.
Finding 2022-001
Finding Reference Number: 2022-01 Title and Federal Assistance Listing Number of Federal Program: Section 202 Capital Advance and Project Assistance Rental #14.157 Type of Finding: Federal Award Finding Finding Resolution Status: In Process Information on Universe Population Size: Not Applicable Sample Size Information: Not Applicable Identification of Repeat Finding and Finding Reference Number: Not Applicable Criteria: Neither the mortgagor nor its agents shall make any payments for services, supplies, or materials unless such services are actually rendered for the project or such supplies or materials are delivered to the project and are necessary for its operation. Statement of Condition: During the year ended December 31, 2022, the Project paid several expenses on behalf of an adjacent project. Cause: Clerical error of invoices being paid from the wrong cash account. Effect or Potential Effect: Amounts paid on behalf of another project is considered an unauthorized disbursement of Project assets per the Regulatory Agreement. Auditor Non-Compliance Code: Z - Other Questioned Costs: $21,455 Reportable Views of Responsible Officials: Management is in agreement with the finding, and will contact the necessary parties for reimbursement. Context: Not applicable Recommendation: Management should review procedures surrounding the payment of invoices to ensure funds are being drawn from the correct account. Auditors? Summary of the Auditee?s Comments on the Findings and Recommendations: Management will be more diligent about ensuring the accuracy of invoice payments in the future. Response Indicator: Agree Completion Date: 12/31/2023 Response: Management has spoken to the necessary personnel tasked with recording payments of invoices and reemphasized the importance of paying only invoices relevant to the Property.