FAC Explorer

Audit 331271

FY End
2024-06-30
Total Expended
$1.12M
Findings
2
Programs
1
Organization: Simcha, Inc. (OH)
Year: 2024 Accepted: 2024-12-06
Auditor: Rsm US LLP

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
513443 2024-001 Significant Deficiency - N
1089885 2024-001 Significant Deficiency - N

Programs

ALN Program Spent Major Findings
14.181 Supportive Housing for Persons with Disabilities $92,688 Yes 0

Contacts

Name Title Type
GJL1BVMKRLN7 Barbara Cameron Auditee
2165046408 David Andrews Auditor
No contacts on file

Notes to SEFA

Title: 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 in reimbursement. De Minimis Rate Used: Y Rate Explanation: The Corporation has elected to use the 10% de minimis indirect cost rate as allowed under the Uniform Guidance. The accompanying schedule of expenditures of federal awards (the Schedule) includes the federal award activity of Simcha, Inc. under programs of the federal government for the year ended June 30, 2024. The information in this Schedule is presented in accordance with the requirements of Title 2 U.S. Code of Federal Regulations 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 Simcha, Inc., it is not intended to and does not present the financial position, changes in net assets or cash flows of Simcha, Inc.
Title: Summary of Significant Accounting Policies 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 in reimbursement. De Minimis Rate Used: Y Rate Explanation: The Corporation has elected to use the 10% de minimis indirect cost rate as allowed under the Uniform Guidance. 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 in reimbursement.
Title: U.S. Department of Housing and Urban Development Loan Program 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 in reimbursement. De Minimis Rate Used: Y Rate Explanation: The Corporation has elected to use the 10% de minimis indirect cost rate as allowed under the Uniform Guidance. The Corporation has received a U.S. Department of Housing and Urban Development capital advance under Section 811 of the National Housing Act. The capital advance outstanding at the beginning of the year is included in the federal expenditures presented in the Schedule. The Corporation received no additional loans during the year. The balance of loans outstanding at June 30, 2024, was $1,024,800.
Title: Indirect Cost Rate 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 in reimbursement. De Minimis Rate Used: Y Rate Explanation: The Corporation has elected to use the 10% de minimis indirect cost rate as allowed under the Uniform Guidance. The Corporation has elected to use the 10% de minimis indirect cost rate as allowed under the Uniform Guidance.

Finding Details

Finding 2024-001
Finding No. 2024-001 - Tenant Application, Eligibility and Recertification Federal Agency: Housing and Urban Development (HUD) Federal Program: Supportive Housing for Persons with Disabilities – Section 811 Capital Advance Program and Project Rental Assistance: ALN 14.181 Criteria: Section 4-18 “Documenting Changes to Waiting Lists” of the HUD Occupancy Handbook (4350.3) requires that whenever a change is made in the waiting list, an action is taken, or an activity specific to an applicant occurs, a notation must be made on the waiting list and that an auditable record of changes to waiting lists is maintained. Condition: During the year ended June 30, 2024, we identified that the Corporation had one move-in. The Corporation maintained a waiting list, however, the Corporation did not maintain evidence of when changes were made to the waiting list, an action was taken, or an activity specific to an applicant occurred. As a result, we could not determine if the Corporation complied with requirements of its tenant selection plan in selecting an applicant from the waiting list. Questioned Costs: None Effect: The Corporation was not in compliance with the requirements under the program. Cause: The Corporation did not have appropriate controls in place to maintain an auditable record of changes to the waiting list with appropriate notations for changes made to the waiting list. Recommendation: We recommend the Corporation implement appropriate policies and internal controls as it relates to the requirements within Section 4-18 “Documenting Changes to Waiting Lists” of the HUD Occupancy Handbook (4350.3).
Finding 2024-001
Finding No. 2024-001 - Tenant Application, Eligibility and Recertification Federal Agency: Housing and Urban Development (HUD) Federal Program: Supportive Housing for Persons with Disabilities – Section 811 Capital Advance Program and Project Rental Assistance: ALN 14.181 Criteria: Section 4-18 “Documenting Changes to Waiting Lists” of the HUD Occupancy Handbook (4350.3) requires that whenever a change is made in the waiting list, an action is taken, or an activity specific to an applicant occurs, a notation must be made on the waiting list and that an auditable record of changes to waiting lists is maintained. Condition: During the year ended June 30, 2024, we identified that the Corporation had one move-in. The Corporation maintained a waiting list, however, the Corporation did not maintain evidence of when changes were made to the waiting list, an action was taken, or an activity specific to an applicant occurred. As a result, we could not determine if the Corporation complied with requirements of its tenant selection plan in selecting an applicant from the waiting list. Questioned Costs: None Effect: The Corporation was not in compliance with the requirements under the program. Cause: The Corporation did not have appropriate controls in place to maintain an auditable record of changes to the waiting list with appropriate notations for changes made to the waiting list. Recommendation: We recommend the Corporation implement appropriate policies and internal controls as it relates to the requirements within Section 4-18 “Documenting Changes to Waiting Lists” of the HUD Occupancy Handbook (4350.3).