Audit 337419

FY End
2022-06-30
Total Expended
$769,868
Findings
4
Programs
1
Organization: George Galen Wheeler House INC (RI)
Year: 2022 Accepted: 2025-01-13

Organization Exclusion Status:

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Findings

ID Ref Severity Repeat Requirement
518971 2022-001 Significant Deficiency - C
518972 2022-002 Significant Deficiency - C
1095413 2022-001 Significant Deficiency - C
1095414 2022-002 Significant Deficiency - C

Programs

ALN Program Spent Major Findings
14.181 Supportive Housing for Persons with Disabilities $45,568 Yes 2

Contacts

Name Title Type
J62FHLRKWM22 Laura Jaworski Auditee
4014633324 Victoria Sylvia Auditor
No contacts on file

Notes to SEFA

Title: Note to the Schedule of Expenditures of Federal Awards Accounting Policies: The accompanying schedule of expenditures of federal awards includes the federal grant activity of George Galen Wheeler House, Inc. and is presented on the accrual basis of accounting. The information in the 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 . Therefore, some amounts presented in the Schedule may differ from amounts presented in, or used in the preparation of the basic financial statements. The Section 811 program amount is reported as a capital advance for the duration of the compliance period. De Minimis Rate Used: Y Rate Explanation: The Auditee did use the de minimis rate. The accompanying schedule of expenditures of federal awards includes the federal grant activity of George Galen Wheeler House, Inc. and is presented on the accrual basis of accounting. The information in the 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 . Therefore, some amounts presented in the Schedule may differ from amounts presented in, or used in the preparation of the basic financial statements. The Section 811 program amount is reported as a capital advance for the duration of the compliance period.
Title: Capital Advance Accounting Policies: The accompanying schedule of expenditures of federal awards includes the federal grant activity of George Galen Wheeler House, Inc. and is presented on the accrual basis of accounting. The information in the 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 . Therefore, some amounts presented in the Schedule may differ from amounts presented in, or used in the preparation of the basic financial statements. The Section 811 program amount is reported as a capital advance for the duration of the compliance period. De Minimis Rate Used: Y Rate Explanation: The Auditee did use the de minimis rate. The balance of the capital advance was $724,300 as of June 30, 2022

Finding Details

Finding 2022-001: Section 811 Criteria: Tenant security deposit liability exceeds tenant security deposit cash, with evidence of fund commingling and absence of activity during the fiscal year. Statement of Condition: Tenant security deposit liability exceeds available tenant security deposit cash. Cause: Lack of segregation and proper oversight of tenant security deposit funds. Effect or Potential Effect: Increased risk of financial inaccuracies and regulatory non-compliance. Recommendation: Implement strict segregation of tenant security deposit funds, conduct regular reconciliations, and establish regular record-keeping practices. Management’s Response: We will reconcile our security deposit cash and security liability contra accounts to ensure that cash exceeds the liability.
Finding 2022-002: Section 811 Criteria: Requirement to maintain evidence of monthly rent rolls and a current tenant security deposit liability summary. Statement of Condition: Lack of documented evidence demonstrating the maintenance of monthly rent rolls and a current tenant security deposit liability summary. Cause: Oversight in record-keeping procedures regarding the current status of tenant security deposits. Effect or Potential Effect: Potential delay in the return of security deposits for move-out tenants due to insufficient documentation and lack of segregation of funds. Recommendation: Establish and maintain documented monthly rent rolls and a current tenant security deposit liability summary into the month-end close process. Management’s Response: We recognize the need to promptly enact measures to uphold monthly rent roll maintenance and the ongoing review of tenant security deposit liabilities.
Finding 2022-001: Section 811 Criteria: Tenant security deposit liability exceeds tenant security deposit cash, with evidence of fund commingling and absence of activity during the fiscal year. Statement of Condition: Tenant security deposit liability exceeds available tenant security deposit cash. Cause: Lack of segregation and proper oversight of tenant security deposit funds. Effect or Potential Effect: Increased risk of financial inaccuracies and regulatory non-compliance. Recommendation: Implement strict segregation of tenant security deposit funds, conduct regular reconciliations, and establish regular record-keeping practices. Management’s Response: We will reconcile our security deposit cash and security liability contra accounts to ensure that cash exceeds the liability.
Finding 2022-002: Section 811 Criteria: Requirement to maintain evidence of monthly rent rolls and a current tenant security deposit liability summary. Statement of Condition: Lack of documented evidence demonstrating the maintenance of monthly rent rolls and a current tenant security deposit liability summary. Cause: Oversight in record-keeping procedures regarding the current status of tenant security deposits. Effect or Potential Effect: Potential delay in the return of security deposits for move-out tenants due to insufficient documentation and lack of segregation of funds. Recommendation: Establish and maintain documented monthly rent rolls and a current tenant security deposit liability summary into the month-end close process. Management’s Response: We recognize the need to promptly enact measures to uphold monthly rent roll maintenance and the ongoing review of tenant security deposit liabilities.