Audit 326230

FY End
2022-12-31
Total Expended
$4.42M
Findings
10
Programs
3
Year: 2022 Accepted: 2024-10-28

Organization Exclusion Status:

Checking exclusion status...

Findings

ID Ref Severity Repeat Requirement
503956 2022-001 Material Weakness Yes E
503957 2022-002 Material Weakness Yes C
503958 2022-003 Material Weakness Yes C
503959 2022-004 Material Weakness Yes I
503960 2022-005 Material Weakness - A
1080398 2022-001 Material Weakness Yes E
1080399 2022-002 Material Weakness Yes C
1080400 2022-003 Material Weakness Yes C
1080401 2022-004 Material Weakness Yes I
1080402 2022-005 Material Weakness - A

Programs

ALN Program Spent Major Findings
14.867 Indian Housing Block Grants $377,184 - 0
21.019 Coronavirus Relief Fund $312,781 - 0
21.023 Emergency Rental Assistance Program $229,902 Yes 1

Contacts

Name Title Type
FC3XPZP9THN1 Damon Dunbar Auditee
5803312400 Malcolm P. Johnson Auditor
No contacts on file

Notes to SEFA

Accounting Policies: A.Basis of Accounting This schedule is prepared on the accrual basis of accounting. B.Basis of Presentation The accompanying Schedule of Federal Awards (the Schedule) includes the federal grant activity of the Authority under programs of the federal government for the year ended December 31, 2022. The information in this schedule is presented in accordance with the requirements of OMB Uniform Guidance, Title 2 CFR, Part 200, "Uniform Administrative Requirements, Cost Principles, and Audit Requirements of 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. De Minimis Rate Used: N Rate Explanation: C. Other Matters - Indirect Costs The Authority has not elected to use the 10-percent de minimis indirect cost rate allowed under Uniform Guidance.

Finding Details

2022-001 Condition: Deficiencies Noted in Maintenance of Tenant Files During the review of twenty-five (25) Tenant Files from all programs, the following deficiencies were noted: 12 of 25 Rental files selected lacked a timely Annual Recertification 25 of 25 Rental files selected lacked a timely Annual Inspections Assistance Listing #: 14.867 Questioned Costs: None Cause: The Authority’s deficiency in its resident files stems from some lack of controls concerning HUD requirements and procedures. Effect: The Authority has not been in complete compliance with the above HUD and policy requirements. Criteria: 24 CFR requirements for Indian Housing eligibility. Recommendation: In general, we continue to recommend a review of the recertification process to determine areas of weakness. We also recommend more standardization in file organization of information. Reply: Management agrees with the audit finding and the auditor’s recommendation. We will implement procedures and changes to ensure that this finding will be cleared by the subsequent fiscal year audit.
2022-002 Condition: Deficiencies Noted in Cash Disbursements During the review of forty (40) Cash Disbursement items selected for audit, the following deficiencies were noted: 4 Checks selected for audit were not fully supported with receipts and invoices to support the disbursement 15 Checks selected lacked appropriate approval for disbursement 2 Checks selected lacked correct allocation for the disbursement 15 Disbursements lacked signed contracts or procurement documentation 1 Payroll check lacked agreement to budget. Assistance Listing #: 14.867 Questioned Costs: Undetermined Cause: The Authority’s deficiency in the area of cash disbursements is a lack of internal controls or the invoice approval process. Effect: The Authority has not been in complete compliance with HUD regulations and internal control requirements to support invoices. Criteria: 24 CFR requirements for Cash Disbursements Documentation Recommendation: We recommend a review of the cash disbursement documentation process in order to ensure that each disbursement is fully documented prior to check issuance, and we further recommend an update of internal control policies and regular quality control reviews over cash disbursements to ensure compliance with HUD regulations. Reply: Management agrees with the audit finding and the auditor’s recommendation. We will implement procedures and changes to ensure that this finding will be cleared by the subsequent fiscal year audit.
2021-003 Condition: Deficiencies Noted in Maintenance of the Cash Receipts and Deposits and the Tenant Accounts Receivable During the review of twenty-five (25) Cash Receipts selected for audit, it was noted that the Authority did not make timely deposits and end of month reconciliations for all the receipts and deposits chosen. These deposit lags have created a reconciliation question for the fiscal year 2022. One receipt could not be reconciled to the bank statement. Assistance Listing #: 14.867 Questioned Costs: Undetermined Cause: The Authority’s deficiency stems from a lack of internal controls over tenant account and a loss of key personnel in this area. Effect: The Authority is not in compliance with numerous HUD requirements. Criteria: Annual Contributions Contracts Recommendation: We recommend that the Authority utilize the tenant software to properly account for tenant balances. Reply: Management agrees with the audit finding and the auditor’s recommendation. We will implement procedures and changes to ensure that this finding will be cleared by the subsequent fiscal year audit.
2022-004 Condition: Deficiencies Noted in Small Purchases Procurement During the review of the contracts selected for audit, it was noted that in all contracts, small purchases, and sealed bids the Authority did not follow their procurement policy or the Cheyenne Arapaho Tribe Covid Procurement Guidance during the Fiscal Year 2022. Assistance Listing #: 14.867 Questioned Costs: Undetermined Cause: The Authority's deficiency in procurement and contracts stems from a lack of certain controls concerning HUD requirements and procedures. Effect: The Authority has not been in complete compliance with the above HUD requirements. Criteria: HUD Regulation regarding 24 CFR 85.36 Recommendation: We recommend that all contracts have the same level of documentation of procurement for small purchases contracts and that the Authority add additional support for contracts where only one bid for services was available. Reply: Management agrees with the audit finding and the auditor’s recommendation. We will implement procedures and changes to ensure that this finding will be cleared by the subsequent fiscal year audit.
2022-006 Condition: Deficiencies Noted in Our Examination of Emergency Rental Assistance (ERA) Files During the review of four (4) Emergency Rental Assistance Payments, the following deficiencies were noted: 2 Checks selected lacked appropriate approval for disbursement 2 Disbursements lacked compliance with ERA policies and sufficient support Assistance Listing #: 21.023 Questioned Costs: Undetermined Cause: The Authority’s deficiency in the area of cash disbursements is a lack of internal controls or the invoice approval process. Effect: The Authority has not been in complete compliance with HUD regulations and internal control requirements to support invoices. Criteria: 24 CFR requirements for Cash Disbursements Documentation Recommendation: We recommend a review of the cash disbursement documentation process in order to ensure that each disbursement is fully documented prior to check issuance, and we further recommend an update of internal control policies and regular quality control reviews over cash disbursements to ensure compliance with HUD regulations. Reply: Management agrees with the audit finding and the auditor’s recommendation. We will implement procedures and changes to ensure that this finding will be cleared by the subsequent fiscal year audit.
2022-001 Condition: Deficiencies Noted in Maintenance of Tenant Files During the review of twenty-five (25) Tenant Files from all programs, the following deficiencies were noted: 12 of 25 Rental files selected lacked a timely Annual Recertification 25 of 25 Rental files selected lacked a timely Annual Inspections Assistance Listing #: 14.867 Questioned Costs: None Cause: The Authority’s deficiency in its resident files stems from some lack of controls concerning HUD requirements and procedures. Effect: The Authority has not been in complete compliance with the above HUD and policy requirements. Criteria: 24 CFR requirements for Indian Housing eligibility. Recommendation: In general, we continue to recommend a review of the recertification process to determine areas of weakness. We also recommend more standardization in file organization of information. Reply: Management agrees with the audit finding and the auditor’s recommendation. We will implement procedures and changes to ensure that this finding will be cleared by the subsequent fiscal year audit.
2022-002 Condition: Deficiencies Noted in Cash Disbursements During the review of forty (40) Cash Disbursement items selected for audit, the following deficiencies were noted: 4 Checks selected for audit were not fully supported with receipts and invoices to support the disbursement 15 Checks selected lacked appropriate approval for disbursement 2 Checks selected lacked correct allocation for the disbursement 15 Disbursements lacked signed contracts or procurement documentation 1 Payroll check lacked agreement to budget. Assistance Listing #: 14.867 Questioned Costs: Undetermined Cause: The Authority’s deficiency in the area of cash disbursements is a lack of internal controls or the invoice approval process. Effect: The Authority has not been in complete compliance with HUD regulations and internal control requirements to support invoices. Criteria: 24 CFR requirements for Cash Disbursements Documentation Recommendation: We recommend a review of the cash disbursement documentation process in order to ensure that each disbursement is fully documented prior to check issuance, and we further recommend an update of internal control policies and regular quality control reviews over cash disbursements to ensure compliance with HUD regulations. Reply: Management agrees with the audit finding and the auditor’s recommendation. We will implement procedures and changes to ensure that this finding will be cleared by the subsequent fiscal year audit.
2021-003 Condition: Deficiencies Noted in Maintenance of the Cash Receipts and Deposits and the Tenant Accounts Receivable During the review of twenty-five (25) Cash Receipts selected for audit, it was noted that the Authority did not make timely deposits and end of month reconciliations for all the receipts and deposits chosen. These deposit lags have created a reconciliation question for the fiscal year 2022. One receipt could not be reconciled to the bank statement. Assistance Listing #: 14.867 Questioned Costs: Undetermined Cause: The Authority’s deficiency stems from a lack of internal controls over tenant account and a loss of key personnel in this area. Effect: The Authority is not in compliance with numerous HUD requirements. Criteria: Annual Contributions Contracts Recommendation: We recommend that the Authority utilize the tenant software to properly account for tenant balances. Reply: Management agrees with the audit finding and the auditor’s recommendation. We will implement procedures and changes to ensure that this finding will be cleared by the subsequent fiscal year audit.
2022-004 Condition: Deficiencies Noted in Small Purchases Procurement During the review of the contracts selected for audit, it was noted that in all contracts, small purchases, and sealed bids the Authority did not follow their procurement policy or the Cheyenne Arapaho Tribe Covid Procurement Guidance during the Fiscal Year 2022. Assistance Listing #: 14.867 Questioned Costs: Undetermined Cause: The Authority's deficiency in procurement and contracts stems from a lack of certain controls concerning HUD requirements and procedures. Effect: The Authority has not been in complete compliance with the above HUD requirements. Criteria: HUD Regulation regarding 24 CFR 85.36 Recommendation: We recommend that all contracts have the same level of documentation of procurement for small purchases contracts and that the Authority add additional support for contracts where only one bid for services was available. Reply: Management agrees with the audit finding and the auditor’s recommendation. We will implement procedures and changes to ensure that this finding will be cleared by the subsequent fiscal year audit.
2022-006 Condition: Deficiencies Noted in Our Examination of Emergency Rental Assistance (ERA) Files During the review of four (4) Emergency Rental Assistance Payments, the following deficiencies were noted: 2 Checks selected lacked appropriate approval for disbursement 2 Disbursements lacked compliance with ERA policies and sufficient support Assistance Listing #: 21.023 Questioned Costs: Undetermined Cause: The Authority’s deficiency in the area of cash disbursements is a lack of internal controls or the invoice approval process. Effect: The Authority has not been in complete compliance with HUD regulations and internal control requirements to support invoices. Criteria: 24 CFR requirements for Cash Disbursements Documentation Recommendation: We recommend a review of the cash disbursement documentation process in order to ensure that each disbursement is fully documented prior to check issuance, and we further recommend an update of internal control policies and regular quality control reviews over cash disbursements to ensure compliance with HUD regulations. Reply: Management agrees with the audit finding and the auditor’s recommendation. We will implement procedures and changes to ensure that this finding will be cleared by the subsequent fiscal year audit.