FAC Explorer

Audit 34013

FY End
2022-09-30
Total Expended
$1.12M
Findings
2
Programs
2
Organization: Grundy County Supportive Housing Corp, Friendship Place Apartments (MO)
Year: 2022 Accepted: 2023-03-06
Auditor: Welch and Associates LLC

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
39499 2022-001 Significant Deficiency Yes N
615941 2022-001 Significant Deficiency Yes N

Programs

ALN Program Spent Major Findings
14.181 Supportive Housing for Persons with Disabilities $1.08M Yes 1
14.856 Lower Income Housing Assistance Program_section 8 Moderate Rehabilitation $37,872 - 0

Contacts

Name Title Type
MALVBUMFQHJ6 Peggy Scott Auditee
6603397235 Brian Welch Auditor
No contacts on file

Notes to SEFA

Title: Loan/loan guarantee outstanding balances Accounting Policies: Expenditures reported on the Schedule are reported on the GAAP 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. Negative amounts shown on the Schedule represent adjustments or credits made in the normal course of business to amounts reported as expenditures in prior years. De Minimis Rate Used: N Rate Explanation: The auditee did not use the de minimis cost rate. SUPPORTIVE HOUSING FOR PERSONS WITH DISABILITIES (14.181) - Balances outstanding at the end of the audit period were 1079300.
Title: BASIS OF PRESENTATION Accounting Policies: Expenditures reported on the Schedule are reported on the GAAP 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. Negative amounts shown on the Schedule represent adjustments or credits made in the normal course of business to amounts reported as expenditures in prior years. De Minimis Rate Used: N Rate Explanation: The auditee did not use the de minimis cost rate. The accompanying schedule of expenditures of federal awards (the Schedule) includes the federal award activity of Grundy County Supportive Housing Corporation (Friendship Place Apartments) under programs of the federal government for the year ended September 30, 2022. 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 Requirement, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance). Because the Schedule presents only a selected portion of operations of Sheltering Arms Housing Corporation, it is not intended to and does not present the financial position, changes in net assets, or cash flows of Grundy County Supportive Housing Corporation (Friendship Place Apartments).

Finding Details

Finding 2022-001
S3800-010: Finding Reference Number 2022-001 (Significant Deficiency) S3800-011: Program Information Federal Program: Supportive Housing for Persons with Disabilities ? Section 811 Federal Agency: Department of Housing and Urban Development Assistance Listing #: 14.181 Pass-through Entity: None Federal Award Identification Number and Year: N/A Type of Compliance Finding: N ? Special Tests and Provisions S3800-015: Type of Finding Federal Awards Finding S3800-016: Finding Resolution Status In-progress S3800-017: Information on Universe Population Size N/A S3800-018: Sample Size Information N/A S3800-019: Repeat Finding Number 2021-002 S3800-020: Criteria Owners of insured and assisted multifamily housing projects are required by HUD administrative guidelines to have a HUD approved Project Owner's Certification for Owner-Managed Multifamily Housing Projects for very low-income persons with disabilities (Form 9839-A). S3800-030: Statement of Condition During our audit of the Organization?s fiscal year ended September 30, 2022 federal award program, we noted that the Organization did not have a HUD approved Form 9839-A. S3800-032: Cause The Owner submitted Form 9839-C in January 2022. Owner followed up with HUD in December 2022 mentioning they had not received approval of HUD Form 9839-C. HUD informed Owner that they had submitted the incorrect form and to submit HUD Form 9839-A on January 11, 2023. Owner submitted HUD Form 9839-A on January 17, 2023 and HUD is currently processing. S3800-033: Effect or Potential Effect The Owner has not been approved to manage the Project. S3800-035: Auditor Non-Compliance Code: Z - Other S3800-040: Questioned Costs None S3800-045: Reporting Views of Responsible Officials The Organization agreed with this finding. S3800-050: Context The Organization is required to have all of its necessary forms and licenses current and up to date. S3800-080: Recommendation The Auditor does not have a recommendation as HUD Form 9839-A is being processed. Additionally, the Organization should ask HUD to retrospectively approve Form 9839-A effective September 1, 2007. S2700-090: Auditor?s Summary of the Auditee?s Comments on the Findings and Recommendations Auditee agreed with our recommendation. S3800-130: Response Indicator Agree S3800-140: Completion Date or Proposed Completion Date March 2023 Corrective Action Plan on Organization?s letterhead.
Finding 2022-001
S3800-010: Finding Reference Number 2022-001 (Significant Deficiency) S3800-011: Program Information Federal Program: Supportive Housing for Persons with Disabilities ? Section 811 Federal Agency: Department of Housing and Urban Development Assistance Listing #: 14.181 Pass-through Entity: None Federal Award Identification Number and Year: N/A Type of Compliance Finding: N ? Special Tests and Provisions S3800-015: Type of Finding Federal Awards Finding S3800-016: Finding Resolution Status In-progress S3800-017: Information on Universe Population Size N/A S3800-018: Sample Size Information N/A S3800-019: Repeat Finding Number 2021-002 S3800-020: Criteria Owners of insured and assisted multifamily housing projects are required by HUD administrative guidelines to have a HUD approved Project Owner's Certification for Owner-Managed Multifamily Housing Projects for very low-income persons with disabilities (Form 9839-A). S3800-030: Statement of Condition During our audit of the Organization?s fiscal year ended September 30, 2022 federal award program, we noted that the Organization did not have a HUD approved Form 9839-A. S3800-032: Cause The Owner submitted Form 9839-C in January 2022. Owner followed up with HUD in December 2022 mentioning they had not received approval of HUD Form 9839-C. HUD informed Owner that they had submitted the incorrect form and to submit HUD Form 9839-A on January 11, 2023. Owner submitted HUD Form 9839-A on January 17, 2023 and HUD is currently processing. S3800-033: Effect or Potential Effect The Owner has not been approved to manage the Project. S3800-035: Auditor Non-Compliance Code: Z - Other S3800-040: Questioned Costs None S3800-045: Reporting Views of Responsible Officials The Organization agreed with this finding. S3800-050: Context The Organization is required to have all of its necessary forms and licenses current and up to date. S3800-080: Recommendation The Auditor does not have a recommendation as HUD Form 9839-A is being processed. Additionally, the Organization should ask HUD to retrospectively approve Form 9839-A effective September 1, 2007. S2700-090: Auditor?s Summary of the Auditee?s Comments on the Findings and Recommendations Auditee agreed with our recommendation. S3800-130: Response Indicator Agree S3800-140: Completion Date or Proposed Completion Date March 2023 Corrective Action Plan on Organization?s letterhead.