FAC Explorer

Audit 34942

FY End
2022-12-31
Total Expended
$2.01M
Findings
2
Programs
2
Organization: M.l. Gabriel Commons (LA)
Year: 2022 Accepted: 2023-09-24
Auditor: Wharton CPA LLC

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
33549 2022-001 Material Weakness - N
609991 2022-001 Material Weakness - N

Programs

ALN Program Spent Major Findings
14.157 Supportive Housing for the Elderly $1.75M Yes 1
14.195 Section 8 Housing Assistance Payments Program $251,091 - 0

Contacts

Name Title Type
TBHLAQREDENL Dr. Willie Gable Auditee
5045245471 Brendel Wharton Auditor
No contacts on file

Notes to SEFA

Title: Loan/loan guarantee outstanding balances Accounting Policies: Note 1 Summary of Significant Accounting Policies54,13Basis of Presentation - This schedule includes the activity of NBC Housing, Inc. Two, M.L. GabrielCommons and is presented on the accrual basis of accounting. The information in this schedule is presentedin accordance with the requirements of Title 2 U.S. Code of Federal Regulations (CFR) Part 200, UniformAdministrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (UniformGuidance).Indirect Cost Rate - M.L. Gabriel did not use the de minimis cost rate.Loan/Loan Guarantee Outstanding Balance - Supportive Housing for the Elderly - Mortgage Payable -The balance outstanding at the end of the audit period was $1,754,135. 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 1754135.

Finding Details

Finding 2022-001
2022-1 Residual Receipts Excess Not Remitted to HUD Condition: The Project did not reduce its housing assistance payments by the amount needed to reduce the residual receipts account to the acceptable limit. Criteria: Notice H 2012-14 allows owners to retain an initial reserve balance up to $250 per unit to be used for project purposes to the extent to which Residual Receipts are available, also known as the ?retained balance?. According to HUD, the Residual Receipt balance in excess of $250 per unit must be applied on a monthly basis to offset the HAP contract and must continue until the Residual Receipt account reaches the retained balance level. Cause: The cause is undeterminable. Effect: At December 31, 2022, there is an excess residual receipts balance of $14,148 Recommendation: I recommend the Property begin reducing HAP payments to bring the residual receipts account to an acceptable level, according to HUD rules and regulations.
Finding 2022-001
2022-1 Residual Receipts Excess Not Remitted to HUD Condition: The Project did not reduce its housing assistance payments by the amount needed to reduce the residual receipts account to the acceptable limit. Criteria: Notice H 2012-14 allows owners to retain an initial reserve balance up to $250 per unit to be used for project purposes to the extent to which Residual Receipts are available, also known as the ?retained balance?. According to HUD, the Residual Receipt balance in excess of $250 per unit must be applied on a monthly basis to offset the HAP contract and must continue until the Residual Receipt account reaches the retained balance level. Cause: The cause is undeterminable. Effect: At December 31, 2022, there is an excess residual receipts balance of $14,148 Recommendation: I recommend the Property begin reducing HAP payments to bring the residual receipts account to an acceptable level, according to HUD rules and regulations.