FAC Explorer

Audit 361938

FY End
2024-06-30
Total Expended
$5.74M
Findings
8
Programs
4
Organization: Eastern Carolina Human Services Agency, Inc. (NC)
Year: 2024 Accepted: 2025-07-10
Auditor: Anderson Smith & Wike PLLC

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
571003 2024-004 Significant Deficiency Yes L
571004 2024-004 Significant Deficiency Yes L
571005 2024-005 Significant Deficiency - N
571006 2024-005 Significant Deficiency - N
1147445 2024-004 Significant Deficiency Yes L
1147446 2024-004 Significant Deficiency Yes L
1147447 2024-005 Significant Deficiency - N
1147448 2024-005 Significant Deficiency - N

Programs

ALN Program Spent Major Findings
14.871 Section 8 Housing Choice Vouchers $4.32M Yes 2
93.569 Community Services Block Grant $967,808 Yes 0
14.879 Mainstream Vouchers $382,469 Yes 2
14.896 Family Self-Sufficiency Program $72,852 - 0

Contacts

Name Title Type
G8NHQJP83Q76 Linda Higuet Auditee
9103472151 Andy Deal, CPA Auditor
No contacts on file

Notes to SEFA

Title: Basis of Presentation Accounting Policies: Expenditures reported in the SEFA 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: Eastern Carolina Human Services Agency, Inc. has elected not to use the 10-percent de minimis indirect cost rate as allowed under the Uniform Guidance. The accompanying schedule of expenditures of federal awards (SEFA) includes the federal grant activity of Eastern Carolina Human Services Agency, Inc. under the programs of the federal government for the year ended June 30, 2024. The information in this SEFA is presented in accordance with the requirements of Title 2 US Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards. Because the Schedule presents only a selected portion of the operations of Eastern Carolina Human Services Agency, Inc. it is not intended to and does not present the financial position, activities or cash flows of Eastern Carolina Human Services Agency, Inc.

Finding Details

Finding 2024-004
SIGNIFICANT DEFICIENCY and NON-COMPLIANCE Reporting – Audited REAC Submission Section 8 Housing Voucher Choice Program AL #14.871, 14.879 Condition: Audited financial information for the periods ending June 30, 2024 and 2023 was not submitted to HUD through the REAC website within the required time-frame. Criteria: Entities that administer Housing Choice Voucher Cluster programs must submit audited financial information annually to the Department of Housing and Urban Development (HUD) in accordance with 24 CFR 5.801 – uniform financial reporting standards. Audited financial information must be submitted to HUD electronically through HUD’s Real Estate Assessment Center (REAC) website, and the submission of this information to HUD must take place within nine months of the entity’s fiscal year end. Effect: The Agency is in violation of HUD financial reporting requirements. Cause: Oversight. Identification of a Repeat finding: This is a repeat finding from the immediate past audit. Questioned Cost: None. Recommendation: We recommend that management ensures future submissions are completed on a timely basis. Management Response: Management agrees with this finding and recommendation.
Finding 2024-004
SIGNIFICANT DEFICIENCY and NON-COMPLIANCE Reporting – Audited REAC Submission Section 8 Housing Voucher Choice Program AL #14.871, 14.879 Condition: Audited financial information for the periods ending June 30, 2024 and 2023 was not submitted to HUD through the REAC website within the required time-frame. Criteria: Entities that administer Housing Choice Voucher Cluster programs must submit audited financial information annually to the Department of Housing and Urban Development (HUD) in accordance with 24 CFR 5.801 – uniform financial reporting standards. Audited financial information must be submitted to HUD electronically through HUD’s Real Estate Assessment Center (REAC) website, and the submission of this information to HUD must take place within nine months of the entity’s fiscal year end. Effect: The Agency is in violation of HUD financial reporting requirements. Cause: Oversight. Identification of a Repeat finding: This is a repeat finding from the immediate past audit. Questioned Cost: None. Recommendation: We recommend that management ensures future submissions are completed on a timely basis. Management Response: Management agrees with this finding and recommendation.
Finding 2024-005
SIGNIFICANT DEFICIENCY & NON-COMPLIANCE Special Tests and Provisions – Depository Agreements Section 8 Housing Voucher Choice Program AL #14.871, 14.879 Condition: The Agency did not have the required depository agreements in place for its HUD bank accounts. Criteria: The Agency is required to enter into general depository agreements (GDA) with their financial institutions in the form required by HUD. The agreements serve as safeguards for federal funds and provide third party rights to HUD. Cause: Oversight. Effect: The Agency is in violation of HUD depository agreement requirements and HUD has not been provided third party rights to bank accounts. Identification of a Repeat finding: This is not a repeat finding. Questioned Cost: None. Recommendation: We recommend that management obtain all required depository agreements. Management Response: Management agrees with this finding and recommendation.
Finding 2024-005
SIGNIFICANT DEFICIENCY & NON-COMPLIANCE Special Tests and Provisions – Depository Agreements Section 8 Housing Voucher Choice Program AL #14.871, 14.879 Condition: The Agency did not have the required depository agreements in place for its HUD bank accounts. Criteria: The Agency is required to enter into general depository agreements (GDA) with their financial institutions in the form required by HUD. The agreements serve as safeguards for federal funds and provide third party rights to HUD. Cause: Oversight. Effect: The Agency is in violation of HUD depository agreement requirements and HUD has not been provided third party rights to bank accounts. Identification of a Repeat finding: This is not a repeat finding. Questioned Cost: None. Recommendation: We recommend that management obtain all required depository agreements. Management Response: Management agrees with this finding and recommendation.
Finding 2024-004
SIGNIFICANT DEFICIENCY and NON-COMPLIANCE Reporting – Audited REAC Submission Section 8 Housing Voucher Choice Program AL #14.871, 14.879 Condition: Audited financial information for the periods ending June 30, 2024 and 2023 was not submitted to HUD through the REAC website within the required time-frame. Criteria: Entities that administer Housing Choice Voucher Cluster programs must submit audited financial information annually to the Department of Housing and Urban Development (HUD) in accordance with 24 CFR 5.801 – uniform financial reporting standards. Audited financial information must be submitted to HUD electronically through HUD’s Real Estate Assessment Center (REAC) website, and the submission of this information to HUD must take place within nine months of the entity’s fiscal year end. Effect: The Agency is in violation of HUD financial reporting requirements. Cause: Oversight. Identification of a Repeat finding: This is a repeat finding from the immediate past audit. Questioned Cost: None. Recommendation: We recommend that management ensures future submissions are completed on a timely basis. Management Response: Management agrees with this finding and recommendation.
Finding 2024-004
SIGNIFICANT DEFICIENCY and NON-COMPLIANCE Reporting – Audited REAC Submission Section 8 Housing Voucher Choice Program AL #14.871, 14.879 Condition: Audited financial information for the periods ending June 30, 2024 and 2023 was not submitted to HUD through the REAC website within the required time-frame. Criteria: Entities that administer Housing Choice Voucher Cluster programs must submit audited financial information annually to the Department of Housing and Urban Development (HUD) in accordance with 24 CFR 5.801 – uniform financial reporting standards. Audited financial information must be submitted to HUD electronically through HUD’s Real Estate Assessment Center (REAC) website, and the submission of this information to HUD must take place within nine months of the entity’s fiscal year end. Effect: The Agency is in violation of HUD financial reporting requirements. Cause: Oversight. Identification of a Repeat finding: This is a repeat finding from the immediate past audit. Questioned Cost: None. Recommendation: We recommend that management ensures future submissions are completed on a timely basis. Management Response: Management agrees with this finding and recommendation.
Finding 2024-005
SIGNIFICANT DEFICIENCY & NON-COMPLIANCE Special Tests and Provisions – Depository Agreements Section 8 Housing Voucher Choice Program AL #14.871, 14.879 Condition: The Agency did not have the required depository agreements in place for its HUD bank accounts. Criteria: The Agency is required to enter into general depository agreements (GDA) with their financial institutions in the form required by HUD. The agreements serve as safeguards for federal funds and provide third party rights to HUD. Cause: Oversight. Effect: The Agency is in violation of HUD depository agreement requirements and HUD has not been provided third party rights to bank accounts. Identification of a Repeat finding: This is not a repeat finding. Questioned Cost: None. Recommendation: We recommend that management obtain all required depository agreements. Management Response: Management agrees with this finding and recommendation.
Finding 2024-005
SIGNIFICANT DEFICIENCY & NON-COMPLIANCE Special Tests and Provisions – Depository Agreements Section 8 Housing Voucher Choice Program AL #14.871, 14.879 Condition: The Agency did not have the required depository agreements in place for its HUD bank accounts. Criteria: The Agency is required to enter into general depository agreements (GDA) with their financial institutions in the form required by HUD. The agreements serve as safeguards for federal funds and provide third party rights to HUD. Cause: Oversight. Effect: The Agency is in violation of HUD depository agreement requirements and HUD has not been provided third party rights to bank accounts. Identification of a Repeat finding: This is not a repeat finding. Questioned Cost: None. Recommendation: We recommend that management obtain all required depository agreements. Management Response: Management agrees with this finding and recommendation.