FAC Explorer

Audit 326405

FY End
2023-12-31
Total Expended
$5.93M
Findings
4
Programs
2
Organization: Mt. Zion Housing Authority of Hammond, INC 073 11344 Dba Pleasant View (IN)
Year: 2023 Accepted: 2024-10-29
Auditor: Cherry Bekaert LLP

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
504023 2023-001 - Yes N
504024 2023-001 - Yes N
1080465 2023-001 - Yes N
1080466 2023-001 - Yes N

Programs

ALN Program Spent Major Findings
14.155 Mortgage Insurance for the Purchase Or Refinancing of Existing Multifamily Housing Projects $4.62M Yes 1
14.195 Project-Based Rental Assistance (pbra) $1.30M - 1

Contacts

Name Title Type
Z7LSAE7PM9R1 Kathleen Taylor Auditee
3179211950 Rebekah Payne Auditor
No contacts on file

Notes to SEFA

Title: Note A – Basis of Presentation 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. De Minimis Rate Used: N Rate Explanation: Mt. Zion Housing Authority of Hammond, Inc. d/b/a Pleasant View has elected not to use the 10% de minimis indirect cost rate allowed under the Uniform Guidance. The accompanying schedule of expenditures of federal awards (the "Schedule") includes the federal awards activity of Mt. Zion Housing Authority of Hammond, Inc. d/b/a Pleasant View, HUD Project No. 073-11344-REFI, 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 ("CFR") 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 Mt. Zion Housing Authority of Hammond, Inc. d/b/a Pleasant View, it is not intended to and does not present the financial position, changes in net assets, or cash flows of Mt. Zion Housing Authority of Hammond, Inc. d/b/a Pleasant View.
Title: Note C – Department of Housing and Urban Development Loan 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. De Minimis Rate Used: N Rate Explanation: Mt. Zion Housing Authority of Hammond, Inc. d/b/a Pleasant View has elected not to use the 10% de minimis indirect cost rate allowed under the Uniform Guidance. The loan balance outstanding at the beginning of the year is included in the federal expenditures presented in the Schedule. The balance of the loan outstanding at December 31, 2023 was $4,424,479.

Finding Details

Finding 2023-001
Department of Housing and Urban Development Finding 2023-001 Questioned Costs: $20,679 Information on Universe and Population Size: The population consists of the deposit due to the residual receipts reserve. Sample Size Information: Sampling does not apply. All deposits were tested; 100% of the population was tested. Noncompliance Information: During the year ended December 31, 2023, the Project did not make the required deposit to the residual receipts reserve within 90 days after year-end. Condition: The Project did not make the required deposit to the residual receipts reserve timely. Criteria: HUD regulations require the required deposit to the residual receipts reserve be made within 90 days of year-end. Cause: Management had originally intended to request approval from HUD to waive the required residual receipts deposit. Management ultimately decided not to make this request of HUD. Effect or Potential Effect: The residual receipts reserve was underfunded. Recommendations: The Project should deposit the required amount of $20,679 into the residual receipts reserve. Future required residual receipts deposits should be made timely. Management Comments: Management agrees with the finding and recommendations. The required deposit in the amount of $20,679 was deposited into the residual receipts reserve on February 20, 2024. Future required residual receipts deposits will be made timely. Auditor Non-compliance Code: B - Failure to make required Residual Receipts deposit. Status: Cleared
Finding 2023-001
Department of Housing and Urban Development Finding 2023-001 Questioned Costs: $20,679 Information on Universe and Population Size: The population consists of the deposit due to the residual receipts reserve. Sample Size Information: Sampling does not apply. All deposits were tested; 100% of the population was tested. Noncompliance Information: During the year ended December 31, 2023, the Project did not make the required deposit to the residual receipts reserve within 90 days after year-end. Condition: The Project did not make the required deposit to the residual receipts reserve timely. Criteria: HUD regulations require the required deposit to the residual receipts reserve be made within 90 days of year-end. Cause: Management had originally intended to request approval from HUD to waive the required residual receipts deposit. Management ultimately decided not to make this request of HUD. Effect or Potential Effect: The residual receipts reserve was underfunded. Recommendations: The Project should deposit the required amount of $20,679 into the residual receipts reserve. Future required residual receipts deposits should be made timely. Management Comments: Management agrees with the finding and recommendations. The required deposit in the amount of $20,679 was deposited into the residual receipts reserve on February 20, 2024. Future required residual receipts deposits will be made timely. Auditor Non-compliance Code: B - Failure to make required Residual Receipts deposit. Status: Cleared
Finding 2023-001
Department of Housing and Urban Development Finding 2023-001 Questioned Costs: $20,679 Information on Universe and Population Size: The population consists of the deposit due to the residual receipts reserve. Sample Size Information: Sampling does not apply. All deposits were tested; 100% of the population was tested. Noncompliance Information: During the year ended December 31, 2023, the Project did not make the required deposit to the residual receipts reserve within 90 days after year-end. Condition: The Project did not make the required deposit to the residual receipts reserve timely. Criteria: HUD regulations require the required deposit to the residual receipts reserve be made within 90 days of year-end. Cause: Management had originally intended to request approval from HUD to waive the required residual receipts deposit. Management ultimately decided not to make this request of HUD. Effect or Potential Effect: The residual receipts reserve was underfunded. Recommendations: The Project should deposit the required amount of $20,679 into the residual receipts reserve. Future required residual receipts deposits should be made timely. Management Comments: Management agrees with the finding and recommendations. The required deposit in the amount of $20,679 was deposited into the residual receipts reserve on February 20, 2024. Future required residual receipts deposits will be made timely. Auditor Non-compliance Code: B - Failure to make required Residual Receipts deposit. Status: Cleared
Finding 2023-001
Department of Housing and Urban Development Finding 2023-001 Questioned Costs: $20,679 Information on Universe and Population Size: The population consists of the deposit due to the residual receipts reserve. Sample Size Information: Sampling does not apply. All deposits were tested; 100% of the population was tested. Noncompliance Information: During the year ended December 31, 2023, the Project did not make the required deposit to the residual receipts reserve within 90 days after year-end. Condition: The Project did not make the required deposit to the residual receipts reserve timely. Criteria: HUD regulations require the required deposit to the residual receipts reserve be made within 90 days of year-end. Cause: Management had originally intended to request approval from HUD to waive the required residual receipts deposit. Management ultimately decided not to make this request of HUD. Effect or Potential Effect: The residual receipts reserve was underfunded. Recommendations: The Project should deposit the required amount of $20,679 into the residual receipts reserve. Future required residual receipts deposits should be made timely. Management Comments: Management agrees with the finding and recommendations. The required deposit in the amount of $20,679 was deposited into the residual receipts reserve on February 20, 2024. Future required residual receipts deposits will be made timely. Auditor Non-compliance Code: B - Failure to make required Residual Receipts deposit. Status: Cleared