FAC Explorer

Audit 327123

FY End
2022-04-30
Total Expended
$12.52M
Findings
4
Programs
2
Organization: Crotona Estates Housing Development Fund Company, Inc. (NY)
Year: 2022 Accepted: 2024-11-04
Auditor: Cbiz CPAS PC

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
504538 2022-004 Significant Deficiency Yes N
504539 2022-004 Significant Deficiency Yes N
1080980 2022-004 Significant Deficiency Yes N
1080981 2022-004 Significant Deficiency Yes N

Programs

ALN Program Spent Major Findings
14.155 Mortgage Insurance for the Purchase Or Refinancing of Existing Multifamily Housing Projects $10.66M Yes 1
14.195 Section 8 Housing Assistance Payments Program $1.86M Yes 1

Contacts

Name Title Type
EP3NJEFJNN15 Nestor Olivier Auditee
2125630310 Vivian Jin Auditor
No contacts on file

Notes to SEFA

Title: Note 3 - Mortage Accounting Policies: Note 1 – Basis of Presentation and Significant Accounting Policies The schedule of expenditures of federal awards (the “Schedule”) includes the federal award activity of Crotona Estates Housing Development Fund Company, Inc., HUD Project No. 012-11386 (the “Company”), and is presented on the accrual basis of accounting, following the cost principles contained in the Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement. 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 the Company, it is not intended to and does not present the financial position, changes in net assets or cash flows of the Company. De Minimis Rate Used: N Rate Explanation: Note 2 – Indirect Cost Rates The Company has elected not to use the 10 percent de minimis indirect cost rate as allowed under the Uniform Guidance. Note 3 – Mortgage The Company has a loan guaranteed by HUD, and the outstanding balance of the loan at April 30, 2022 is $10,464,444. The loan balance outstanding at the beginning of the year is included in the federal expenditures presented in the Schedule.

Finding Details

Finding 2022-004
Condition: Electronic submission to REAC was not submitted within nine months from the year end. Criteria: Electronic submission is required to be submitted to REAC within nine months from the year end. Cause: The financial statements were not finalized by the due date. Effect: The Project is not in compliance with Uniform Guidance. Recommendation: We recommend that the electronic submission to REAC be filed as soon as possible. Reporting Views of Responsible Officials: Management has acknowledged a breach in protocol and will resolve the matter as soon as possible. Prior Year Finding Yes.
Finding 2022-004
Condition: Electronic submission to REAC was not submitted within nine months from the year end. Criteria: Electronic submission is required to be submitted to REAC within nine months from the year end. Cause: The financial statements were not finalized by the due date. Effect: The Project is not in compliance with Uniform Guidance. Recommendation: We recommend that the electronic submission to REAC be filed as soon as possible. Reporting Views of Responsible Officials: Management has acknowledged a breach in protocol and will resolve the matter as soon as possible. Prior Year Finding Yes.
Finding 2022-004
Condition: Electronic submission to REAC was not submitted within nine months from the year end. Criteria: Electronic submission is required to be submitted to REAC within nine months from the year end. Cause: The financial statements were not finalized by the due date. Effect: The Project is not in compliance with Uniform Guidance. Recommendation: We recommend that the electronic submission to REAC be filed as soon as possible. Reporting Views of Responsible Officials: Management has acknowledged a breach in protocol and will resolve the matter as soon as possible. Prior Year Finding Yes.
Finding 2022-004
Condition: Electronic submission to REAC was not submitted within nine months from the year end. Criteria: Electronic submission is required to be submitted to REAC within nine months from the year end. Cause: The financial statements were not finalized by the due date. Effect: The Project is not in compliance with Uniform Guidance. Recommendation: We recommend that the electronic submission to REAC be filed as soon as possible. Reporting Views of Responsible Officials: Management has acknowledged a breach in protocol and will resolve the matter as soon as possible. Prior Year Finding Yes.