FAC Explorer

Audit 360877

FY End
2024-09-30
Total Expended
$8.24M
Findings
4
Programs
8
Organization: Housing Authority of Skagit County (WA)
Year: 2024 Accepted: 2025-06-30
Auditor: Cliftonlarsonallen LLP

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
569376 2024-001 Significant Deficiency - N
569377 2024-001 Significant Deficiency - N
1145818 2024-001 Significant Deficiency - N
1145819 2024-001 Significant Deficiency - N

Programs

ALN Program Spent Major Findings
14.871 Section 8 Housing Choice Voucher Program $5.36M Yes 1
10.405 Farm Labor Housing Loans and Grants - Beginning Loan Balance $1.66M - 0
14.871 Emergency Housing Vouchers $514,532 Yes 1
10.405 Farm Labor Housing Loans and Grants - Rental Assistance $207,164 - 0
93.568 Low-Income Home Energy Assistance $165,100 - 0
10.427 Rural Rental Assistance Payments $129,940 - 0
81.042 Weatherization Assistance for Low-Income Persons $104,219 - 0
14.896 Pih Family Self-Sufficiency Program $98,828 - 0

Contacts

Name Title Type
C4A2K3QMMVR4 Renee C. Sinclair Auditee
3604281959 Janice Codrington Auditor
No contacts on file

Notes to SEFA

Title: 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. De Minimis Rate Used: N Rate Explanation: The Authority has not elected to use the 10% de minimis indirect cost rate allowed under the Uniform Guidance. The accompanying schedule of expenditures of federal awards (the Schedule) includes the federal award activity of the Housing Authority of Skagit County under programs of the federal government for the year ended September 30, 2024. The information in this Schedule is presented in accordance with the requirements of 2 CFR 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 Housing Authority of Skagit County, it is not intended to and does not present the financial position, changes in net assets, or cash flows of the Housing Authority of Skagit County.
Title: Federal Loans 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. De Minimis Rate Used: N Rate Explanation: The Authority has not elected to use the 10% de minimis indirect cost rate allowed under the Uniform Guidance. The Authority was approved by the U.S. Department of Agriculture to receive loans to develop, acquire, or renovate low-income housing under the Farm Labor Housing Loan and Grant Program (ALN 10.405). Loans outstanding at the beginning of the year and loans made during the year are included in the federal expenditures presented in the Schedule. The loan balances at September 30, 2024 are as follows:

Finding Details

Finding 2024-001
Criteria or specific requirement: The Housing Authority of Skagit County (the Authority) must inspect a unit leased to a family at least annually to determine if the unit meets HQS and the Authority must conduct quality control (QC) re-inspections (24 CFR sections 982.405(a) and 982.405(b)). For units under HAP contract that fail to meet HQS, the Authority must require the owner to correct any life threatening HQS deficiencies within 24 hours after the inspections and all other HQS deficiencies within 30 calendar days or within a specified Authority-approved extension. If the owner does not correct the cited HQS deficiencies within the specified correction period, the Authority must stop (abate) HAPs beginning no later than the first of the month following the specified correction period or must terminate the HAP contract. The owner is not responsible for a breach of HQS as a result of the family’s failure to pay for utilities for which the family is responsible under the lease or for tenant damage. For family-caused defects, if the family does not correct the cited HQS deficiencies within the specified correction period, the Authority must take prompt and vigorous action to enforce the family obligations (24 CFR sections 982.158(d) and 982.404). Condition: The Authority did not perform HQS inspections in accordance with program compliance requirements. Questioned costs: $9,935. Context: A sample of 40 units found 3 units that were not inspected timely. The Authority did not perform the HQS inspections during the fiscal year. The samples were statistically valid. Cause: HQS inspections were not completed within the required timeframe for 3 units. Effect: The Authority is not in compliance with HQS inspection requirements. Repeat Finding: No. Recommendation: We recommend the Authority implements controls to ensure that required HQS inspections are completed timely. Views of responsible officials: There is no disagreement with the audit finding.
Finding 2024-001
Criteria or specific requirement: The Housing Authority of Skagit County (the Authority) must inspect a unit leased to a family at least annually to determine if the unit meets HQS and the Authority must conduct quality control (QC) re-inspections (24 CFR sections 982.405(a) and 982.405(b)). For units under HAP contract that fail to meet HQS, the Authority must require the owner to correct any life threatening HQS deficiencies within 24 hours after the inspections and all other HQS deficiencies within 30 calendar days or within a specified Authority-approved extension. If the owner does not correct the cited HQS deficiencies within the specified correction period, the Authority must stop (abate) HAPs beginning no later than the first of the month following the specified correction period or must terminate the HAP contract. The owner is not responsible for a breach of HQS as a result of the family’s failure to pay for utilities for which the family is responsible under the lease or for tenant damage. For family-caused defects, if the family does not correct the cited HQS deficiencies within the specified correction period, the Authority must take prompt and vigorous action to enforce the family obligations (24 CFR sections 982.158(d) and 982.404). Condition: The Authority did not perform HQS inspections in accordance with program compliance requirements. Questioned costs: $9,935. Context: A sample of 40 units found 3 units that were not inspected timely. The Authority did not perform the HQS inspections during the fiscal year. The samples were statistically valid. Cause: HQS inspections were not completed within the required timeframe for 3 units. Effect: The Authority is not in compliance with HQS inspection requirements. Repeat Finding: No. Recommendation: We recommend the Authority implements controls to ensure that required HQS inspections are completed timely. Views of responsible officials: There is no disagreement with the audit finding.
Finding 2024-001
Criteria or specific requirement: The Housing Authority of Skagit County (the Authority) must inspect a unit leased to a family at least annually to determine if the unit meets HQS and the Authority must conduct quality control (QC) re-inspections (24 CFR sections 982.405(a) and 982.405(b)). For units under HAP contract that fail to meet HQS, the Authority must require the owner to correct any life threatening HQS deficiencies within 24 hours after the inspections and all other HQS deficiencies within 30 calendar days or within a specified Authority-approved extension. If the owner does not correct the cited HQS deficiencies within the specified correction period, the Authority must stop (abate) HAPs beginning no later than the first of the month following the specified correction period or must terminate the HAP contract. The owner is not responsible for a breach of HQS as a result of the family’s failure to pay for utilities for which the family is responsible under the lease or for tenant damage. For family-caused defects, if the family does not correct the cited HQS deficiencies within the specified correction period, the Authority must take prompt and vigorous action to enforce the family obligations (24 CFR sections 982.158(d) and 982.404). Condition: The Authority did not perform HQS inspections in accordance with program compliance requirements. Questioned costs: $9,935. Context: A sample of 40 units found 3 units that were not inspected timely. The Authority did not perform the HQS inspections during the fiscal year. The samples were statistically valid. Cause: HQS inspections were not completed within the required timeframe for 3 units. Effect: The Authority is not in compliance with HQS inspection requirements. Repeat Finding: No. Recommendation: We recommend the Authority implements controls to ensure that required HQS inspections are completed timely. Views of responsible officials: There is no disagreement with the audit finding.
Finding 2024-001
Criteria or specific requirement: The Housing Authority of Skagit County (the Authority) must inspect a unit leased to a family at least annually to determine if the unit meets HQS and the Authority must conduct quality control (QC) re-inspections (24 CFR sections 982.405(a) and 982.405(b)). For units under HAP contract that fail to meet HQS, the Authority must require the owner to correct any life threatening HQS deficiencies within 24 hours after the inspections and all other HQS deficiencies within 30 calendar days or within a specified Authority-approved extension. If the owner does not correct the cited HQS deficiencies within the specified correction period, the Authority must stop (abate) HAPs beginning no later than the first of the month following the specified correction period or must terminate the HAP contract. The owner is not responsible for a breach of HQS as a result of the family’s failure to pay for utilities for which the family is responsible under the lease or for tenant damage. For family-caused defects, if the family does not correct the cited HQS deficiencies within the specified correction period, the Authority must take prompt and vigorous action to enforce the family obligations (24 CFR sections 982.158(d) and 982.404). Condition: The Authority did not perform HQS inspections in accordance with program compliance requirements. Questioned costs: $9,935. Context: A sample of 40 units found 3 units that were not inspected timely. The Authority did not perform the HQS inspections during the fiscal year. The samples were statistically valid. Cause: HQS inspections were not completed within the required timeframe for 3 units. Effect: The Authority is not in compliance with HQS inspection requirements. Repeat Finding: No. Recommendation: We recommend the Authority implements controls to ensure that required HQS inspections are completed timely. Views of responsible officials: There is no disagreement with the audit finding.