FAC Explorer

Audit 349260

FY End
2022-06-30
Total Expended
$1.32M
Findings
2
Programs
2
Organization: Clinton Ecumenical North INC (IA)
Year: 2022 Accepted: 2025-03-27
Auditor: Tostrud & Temp S C

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
538268 2022-001 Significant Deficiency - A
1114710 2022-001 Significant Deficiency - A

Programs

ALN Program Spent Major Findings
14.155 Mortgage Insurance for the Purchase Or Refinancing of Existing Multifamily Housing Projects $1.05M Yes 1
14.182 Section 8 New Construction and Substantial Rehabilitation $269,280 - 0

Contacts

Name Title Type
J6F1A6RDSYN5 Cheryl Wilson Auditee
5632431280 Michael G Temp Auditor
No contacts on file

Notes to SEFA

Title: Basis of Presentation Accounting Policies: Expenditures reported on the Schedule are reported on the modified accrual basis of accounting. Such expenditures are recognized following the cosT principals contained in The Uniform Guidance, wherein certain types of expenditures are not allowable or limited as to reimbursement. Clinton Ecumenical North has elected not to use the 10-percent de minimus indirect cost rate allowed under Uniform Guidance. De Minimis Rate Used: N Rate Explanation: Clinton Ecumenical North has elected not to use the 10-percent de minimus indirect cost rate allowed under Uniform Guidance. The accompanying schedule of expenditures of federal awards includes the federal grant activity of Clinton Ecumenical North, Inc., and is presented on the accrual basis of accounting. 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). Therefore, some amounts presented in this schedule may differ from amounts presented in, or used in the presentation of, the financial statements.
Title: Other Forms of Assistance Accounting Policies: Expenditures reported on the Schedule are reported on the modified accrual basis of accounting. Such expenditures are recognized following the cosT principals contained in The Uniform Guidance, wherein certain types of expenditures are not allowable or limited as to reimbursement. Clinton Ecumenical North has elected not to use the 10-percent de minimus indirect cost rate allowed under Uniform Guidance. De Minimis Rate Used: N Rate Explanation: Clinton Ecumenical North has elected not to use the 10-percent de minimus indirect cost rate allowed under Uniform Guidance. Clinton Ecumenical North has a mortgage guaranteed by HUD in the amount of $999,998.

Finding Details

Finding 2022-001
2022-001: The Organization did not make the required deposit of surplus cash into their residual receipt reserve account as calculated on their prior fiscal year-end audit report as required by HUD. Criteria: The Organization is required to deposit their surplus cash into their residual receipt reserve within 90 days after receiving their annual audit report. Condition: The Organization did not deposit their surplus cash into their residual receipt reserve within 90 days after receipt of their annual audit report. Effect: The Organization was not in compliance with the HUD requirement to deposit their surplus cash into their residual receipt reserve on time. Cause: The Organization had a change in staff and the requirement to make this deposit was not clearly conveyed to the employee responsible for making the deposit. Recommendation: We recommend the Executive Director utilize the annual audit reports to make any surplus cash deposits into the Organization's residual receipt reserve in a timely manner as required by the HUD agreement. Depositing the cumulative surplus cash amount as calculated on this year's audit report will remedy the undeposited surplus cash from the prior year. Response: The Executive Director agreed with the recommendation and will implement necessary procedures to ensure that any surplus cash amounts are properly deposited in accordance with the HUD agreement.
Finding 2022-001
2022-001: The Organization did not make the required deposit of surplus cash into their residual receipt reserve account as calculated on their prior fiscal year-end audit report as required by HUD. Criteria: The Organization is required to deposit their surplus cash into their residual receipt reserve within 90 days after receiving their annual audit report. Condition: The Organization did not deposit their surplus cash into their residual receipt reserve within 90 days after receipt of their annual audit report. Effect: The Organization was not in compliance with the HUD requirement to deposit their surplus cash into their residual receipt reserve on time. Cause: The Organization had a change in staff and the requirement to make this deposit was not clearly conveyed to the employee responsible for making the deposit. Recommendation: We recommend the Executive Director utilize the annual audit reports to make any surplus cash deposits into the Organization's residual receipt reserve in a timely manner as required by the HUD agreement. Depositing the cumulative surplus cash amount as calculated on this year's audit report will remedy the undeposited surplus cash from the prior year. Response: The Executive Director agreed with the recommendation and will implement necessary procedures to ensure that any surplus cash amounts are properly deposited in accordance with the HUD agreement.