Audit 356000

FY End
2024-12-31
Total Expended
$5.76M
Findings
4
Programs
1
Year: 2024 Accepted: 2025-05-12

Organization Exclusion Status:

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Findings

ID Ref Severity Repeat Requirement
560066 2024-001 Significant Deficiency - B
560067 2024-001 Significant Deficiency - B
1136508 2024-001 Significant Deficiency - B
1136509 2024-001 Significant Deficiency - B

Programs

ALN Program Spent Major Findings
14.157 Supportive Housing for the Elderly $691,508 Yes 1

Contacts

Name Title Type
EZ9UBST28MB5 Laura Nolan Auditee
8453682400 Monica Iglesias Auditor
No contacts on file

Notes to SEFA

Title: NOTE A - BASIS OF PRESENTATION Accounting Policies: Expenditures reported on the Schedule are reported on the accrual 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. MRC Housing Development Fund Company, Inc. has elected not to use the 10-percent de minimis indirect cost rate allowed under the Uniform Guidance. De Minimis Rate Used: N Rate Explanation: N/A The accompanying schedule of expenditures of federal awards includes the federal award activity of MRC Housing Development Fund Company, 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). Because the Schedule presents only a selected portion of the operations of MRC Housing Development Fund Company, Inc., it is not intended to and does not present the financial position, changes in net assets, or cash flows of MRC Housing Development Fund Company, Inc.
Title: NOTE B – SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Accounting Policies: Expenditures reported on the Schedule are reported on the accrual 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. MRC Housing Development Fund Company, Inc. has elected not to use the 10-percent de minimis indirect cost rate allowed under the Uniform Guidance. De Minimis Rate Used: N Rate Explanation: N/A Expenditures reported on the Schedule are reported on the accrual 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. MRC Housing Development Fund Company, Inc. has elected not to use the 10-percent de minimis indirect cost rate allowed under the Uniform Guidance.
Title: NOTE C – U.S. Department of Housing and Urban Development Loan Program Accounting Policies: Expenditures reported on the Schedule are reported on the accrual 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. MRC Housing Development Fund Company, Inc. has elected not to use the 10-percent de minimis indirect cost rate allowed under the Uniform Guidance. De Minimis Rate Used: N Rate Explanation: N/A MRC Housing Development Fund Company, Inc. has received a U.S. Department of Housing and Urban Development Capital Advance under Section 202 of the National Housing Act. The Capital Advance balance outstanding at the beginning of the year is included in the federal expenditures presented in the Schedule. MRC Housing Development Fund Company, Inc. received no additional Capital Advances during the year. The balance of the Capital Advance outstanding at December 31, 2024 consists of: Outstanding Balance Federal Assistance Listing Number Program Name at December 31, 2024 14.157 Supportive Housing for the Elderly $ 5,065,800

Finding Details

S3800-010 Finding Reference Number 2024-001 S3800-011 Title and Federal Assistance Listing Number of Federal Program 14.157 – Supportive Housing for the Elderly S3800-015 Type of Finding Federal Award Finding S3800-016 Finding Resolution Status S3800-017 Information on Universal Population Size N/A S3800-018 Sample Size Information N/A S3800-019 Identification of Repeat Finding and Finding Reference Number N/A S3800-020 Criteria Pursuant to the requirements of the regulatory agreement, the Corporation is required to comply with all HUD regulations and other requirements. The regulatory agreement establishes the requirement to deposit surplus cash to the residual receipts fund. S3800-030 Statement of Condition During the year ended December 31, 2024 residual receipts deposits totaling $37,303 were not made as required by the regulatory agreement. S3800-032 Cause Management did not make the required residual receipts deposit as calculated in the December 31, 2023 audited financial statements. S3800-033 Effect or Potential Effect The Corporation is not in compliance with the terms of the regulatory agreement. S3800-035 Auditor Non-Compliance Code B S3800-040 Questioned Costs $37,303 S3800-045 Reporting Views of Responsible Officials The finding was due to excess tax escrow funds being transferred to the operating account. S3800-050 Context Residual receipts are required to be deposited within 90 days following yearend. The Corporation did not have sufficient funds during the year ended December 31, 2024. S3800-080 Recommendation Management should comply with all HUD regulations and other requirements. S3800-090 Auditor’s Summary of the Auditee’s Comments on the Findings and Recommendations Management will comply with all HUD regulations and other requirements. S3800-130 Response Indicator Agree S3800-140 Completion Date 12/31/2025 S3800-150 Response Agree
S3800-010 Finding Reference Number 2024-001 S3800-011 Title and Federal Assistance Listing Number of Federal Program 14.157 – Supportive Housing for the Elderly S3800-015 Type of Finding Federal Award Finding S3800-016 Finding Resolution Status S3800-017 Information on Universal Population Size N/A S3800-018 Sample Size Information N/A S3800-019 Identification of Repeat Finding and Finding Reference Number N/A S3800-020 Criteria Pursuant to the requirements of the regulatory agreement, the Corporation is required to comply with all HUD regulations and other requirements. The regulatory agreement establishes the requirement to deposit surplus cash to the residual receipts fund. S3800-030 Statement of Condition During the year ended December 31, 2024 residual receipts deposits totaling $37,303 were not made as required by the regulatory agreement. S3800-032 Cause Management did not make the required residual receipts deposit as calculated in the December 31, 2023 audited financial statements. S3800-033 Effect or Potential Effect The Corporation is not in compliance with the terms of the regulatory agreement. S3800-035 Auditor Non-Compliance Code B S3800-040 Questioned Costs $37,303 S3800-045 Reporting Views of Responsible Officials The finding was due to excess tax escrow funds being transferred to the operating account. S3800-050 Context Residual receipts are required to be deposited within 90 days following yearend. The Corporation did not have sufficient funds during the year ended December 31, 2024. S3800-080 Recommendation Management should comply with all HUD regulations and other requirements. S3800-090 Auditor’s Summary of the Auditee’s Comments on the Findings and Recommendations Management will comply with all HUD regulations and other requirements. S3800-130 Response Indicator Agree S3800-140 Completion Date 12/31/2025 S3800-150 Response Agree
S3800-010 Finding Reference Number 2024-001 S3800-011 Title and Federal Assistance Listing Number of Federal Program 14.157 – Supportive Housing for the Elderly S3800-015 Type of Finding Federal Award Finding S3800-016 Finding Resolution Status S3800-017 Information on Universal Population Size N/A S3800-018 Sample Size Information N/A S3800-019 Identification of Repeat Finding and Finding Reference Number N/A S3800-020 Criteria Pursuant to the requirements of the regulatory agreement, the Corporation is required to comply with all HUD regulations and other requirements. The regulatory agreement establishes the requirement to deposit surplus cash to the residual receipts fund. S3800-030 Statement of Condition During the year ended December 31, 2024 residual receipts deposits totaling $37,303 were not made as required by the regulatory agreement. S3800-032 Cause Management did not make the required residual receipts deposit as calculated in the December 31, 2023 audited financial statements. S3800-033 Effect or Potential Effect The Corporation is not in compliance with the terms of the regulatory agreement. S3800-035 Auditor Non-Compliance Code B S3800-040 Questioned Costs $37,303 S3800-045 Reporting Views of Responsible Officials The finding was due to excess tax escrow funds being transferred to the operating account. S3800-050 Context Residual receipts are required to be deposited within 90 days following yearend. The Corporation did not have sufficient funds during the year ended December 31, 2024. S3800-080 Recommendation Management should comply with all HUD regulations and other requirements. S3800-090 Auditor’s Summary of the Auditee’s Comments on the Findings and Recommendations Management will comply with all HUD regulations and other requirements. S3800-130 Response Indicator Agree S3800-140 Completion Date 12/31/2025 S3800-150 Response Agree
S3800-010 Finding Reference Number 2024-001 S3800-011 Title and Federal Assistance Listing Number of Federal Program 14.157 – Supportive Housing for the Elderly S3800-015 Type of Finding Federal Award Finding S3800-016 Finding Resolution Status S3800-017 Information on Universal Population Size N/A S3800-018 Sample Size Information N/A S3800-019 Identification of Repeat Finding and Finding Reference Number N/A S3800-020 Criteria Pursuant to the requirements of the regulatory agreement, the Corporation is required to comply with all HUD regulations and other requirements. The regulatory agreement establishes the requirement to deposit surplus cash to the residual receipts fund. S3800-030 Statement of Condition During the year ended December 31, 2024 residual receipts deposits totaling $37,303 were not made as required by the regulatory agreement. S3800-032 Cause Management did not make the required residual receipts deposit as calculated in the December 31, 2023 audited financial statements. S3800-033 Effect or Potential Effect The Corporation is not in compliance with the terms of the regulatory agreement. S3800-035 Auditor Non-Compliance Code B S3800-040 Questioned Costs $37,303 S3800-045 Reporting Views of Responsible Officials The finding was due to excess tax escrow funds being transferred to the operating account. S3800-050 Context Residual receipts are required to be deposited within 90 days following yearend. The Corporation did not have sufficient funds during the year ended December 31, 2024. S3800-080 Recommendation Management should comply with all HUD regulations and other requirements. S3800-090 Auditor’s Summary of the Auditee’s Comments on the Findings and Recommendations Management will comply with all HUD regulations and other requirements. S3800-130 Response Indicator Agree S3800-140 Completion Date 12/31/2025 S3800-150 Response Agree