FAC Explorer

Audit 34285

FY End
2022-09-30
Total Expended
$1.77M
Findings
2
Programs
2
Organization: Benedictine Manor II No. 082-Ee176 (AR)
Year: 2022 Accepted: 2022-12-22
Auditor: Forvis

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
37869 2022-001 - - N
614311 2022-001 - - N

Programs

ALN Program Spent Major Findings
14.157 Supportive Housing for the Elderly $1.74M Yes 1
14.195 Section 8 Housing Assistance Payments Program $33,787 - 0

Contacts

Name Title Type
GA7XCEKMMCH9 Marva Murphy Auditee
8702074953 Corey Jennings Auditor
No contacts on file

Notes to SEFA

Title: Loan/loan guarantee outstanding balances Accounting Policies: 1.The accompanying schedule of expenditures of federal awards (the Schedule) includes the federal award activity of the Project 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 Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance). Because the Schedule presents only a selected portion of the operations of the Project, it is not intended to and does not present the financial position, changes in net assets or cash flows of the Project. 2. Expenditures reported on the Schedule are reported on the accrual basis of accounting. Such expenditures are recognized following, as applicable, either the cost principles contained in OMB A-122 or the cost principles contained in Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards, wherein certain types of expenditures are not allowable or are limited as to reimbursement. De Minimis Rate Used: N Rate Explanation: The auditee did not use the de minimis cost rate. SUPPORTIVE HOUSING FOR THE ELDERLY (14.157) - Balances outstanding at the end of the audit period were 1736100.

Finding Details

Finding 2022-001
Supportive Housing for the Elderly ALN No. 14.157 U.S. Department of Housing and Urban Development (HUD) Project No. 082-EE175 Program Year 2022 Criteria or Specific Requirement ? Special Tests and Provisions: Residual Receipts Account (24 CFR 891.400(e)) Condition ? The required annual deposit to the residual receipts account was not made within 60 days following year-end. Questioned Costs ? None Context ? The Project is required to calculate surplus cash at the end of each fiscal year and any amount greater than zero is required to be deposited to a federally insured residual receipts account within 60 days of year-end. The Project properly calculated surplus cash; however, funds were not deposited into a residual receipts account within the required time frame. Effect ? The Project did not comply with the residual receipts compliance requirement. Cause ? The Project was in the process of changing responsible parties for depositing surplus cash. Identification as a Repeat Finding ? Not a repeat finding. Recommendation ? Management should create policies and procedures for future instances of surplus cash that will ensure compliance with this requirement. View of Responsible Officials and Planned Corrective Actions ? Surplus cash is calculated on a monthly basis. All residual receipts are required to be deposited in a separate federally insured account within 60 days of the fiscal year-end. The Project deposited cash surplus into a residual receipts account for fiscal year-end September 30, 2022; however, the funds were not deposited until after the 60-day deadline. Management will create policies and procedures for future instances of surplus cash that will ensure compliance with this requirement Responsible party is now Katie Jenkins, Senior Accountant.
Finding 2022-001
Supportive Housing for the Elderly ALN No. 14.157 U.S. Department of Housing and Urban Development (HUD) Project No. 082-EE175 Program Year 2022 Criteria or Specific Requirement ? Special Tests and Provisions: Residual Receipts Account (24 CFR 891.400(e)) Condition ? The required annual deposit to the residual receipts account was not made within 60 days following year-end. Questioned Costs ? None Context ? The Project is required to calculate surplus cash at the end of each fiscal year and any amount greater than zero is required to be deposited to a federally insured residual receipts account within 60 days of year-end. The Project properly calculated surplus cash; however, funds were not deposited into a residual receipts account within the required time frame. Effect ? The Project did not comply with the residual receipts compliance requirement. Cause ? The Project was in the process of changing responsible parties for depositing surplus cash. Identification as a Repeat Finding ? Not a repeat finding. Recommendation ? Management should create policies and procedures for future instances of surplus cash that will ensure compliance with this requirement. View of Responsible Officials and Planned Corrective Actions ? Surplus cash is calculated on a monthly basis. All residual receipts are required to be deposited in a separate federally insured account within 60 days of the fiscal year-end. The Project deposited cash surplus into a residual receipts account for fiscal year-end September 30, 2022; however, the funds were not deposited until after the 60-day deadline. Management will create policies and procedures for future instances of surplus cash that will ensure compliance with this requirement Responsible party is now Katie Jenkins, Senior Accountant.