FAC Explorer

Audit 363368

FY End
2024-12-31
Total Expended
$6.22M
Findings
2
Programs
2
Organization: Ncsc/usa Housing Development Corporation (FL)
Year: 2024 Accepted: 2025-07-30
Auditor: Bellows Associates P A

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
572330 2024-001 - - N
1148772 2024-001 - - N

Programs

ALN Program Spent Major Findings
14.155 Mortgage Insurance for the Purchase Or Refinancing of Existing Multifamily Housing Projects $5.32M Yes 1
14.195 Project-Based Rental Assistance (pbra) $895,307 - 0

Contacts

Name Title Type
W3X9MT2DSX76 Irene Phillips Auditee
9548359200 Jennifer R. Koffman 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: NCSC/USA Housing Development Corporation has elected not to use the 10-percent de minimis indirect cost rate allowed under the Uniform Guidance. The accompanying schedule of expenditures of federal awards (Schedule) includes the federal award activity of NCSC/USA Housing Development Corporation, operating as Steelworkers Tower, HUD Project No. 033-11148, 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 NCSC/USA Housing Development Corporation, it is not intended to and does not present the financial position, changes in net assets, or cash flows of NCSC/USA Housing Development Corporation.
Title: U.S. DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT MORTGAGE REFINANCE 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: NCSC/USA Housing Development Corporation has elected not to use the 10-percent de minimis indirect cost rate allowed under the Uniform Guidance. NCSC/USA Housing Development Corporation received a HUD Mortgage Insurance for the Refinancing Existing Multifamily Housing Projects loan under section 207/223(f) of the National Housing Act. The loan balance outstanding at the beginning of the year is included in the federal expenditures presented in the Schedule. The balance of the loan outstanding as of December 31, 2024 was $5,196,020.

Finding Details

Finding 2024-001
FINDING No. 2024-001: Section 207/223(f) Mortgage Insurance for the Refinancing of Existing Multifamily Housing Projects, ALN 14.155 Finding Resolution Status: Resolved. Information on Universe Population Size: All replacement reserve deposits for the year ended December 31, 2024. Sample Size Information: All replacement reserve deposits for the year ended December 31, 2024. Identification of Repeat Finding and Finding Reference Number: No. Criteria: In accordance with HUD, timely monthly deposits must be made to the Project’s reserve for replacement account. Statement of Condition: As a result of not requesting a timely increase to the reserve for replacement account, the Project made unauthorized deposits to the account totaling $18,000. Cause: The Project’s reserve for replacement funds authorization form expired on April 30, 2024. An updated funds authorization form was not submitted in a timely manner and HUD’s approval was not obtained until January 8, 2025. Effect or Potential Effect: The Project overfunded the reserve for replacement account by $18,000 in the current year. Auditor Non-Compliance Code: N – Reserve for Replacements Deposits. Reporting Views of Responsible Officials: The Project agrees with the finding and the auditor’s recommendations have been adopted. Recommendation: Management should implement procedures to ensure that the increase to the reserve for replacement account is properly applied with timely HUD authorization via form HUD-9250. Response Indicator: Agree. Completion Date: 01/08/2025 Response: Staff training has been provided to ensure the correct RR amounts are deposited and a timely increase from HUD is received. This has been included in the monthly reporting procedures.
Finding 2024-001
FINDING No. 2024-001: Section 207/223(f) Mortgage Insurance for the Refinancing of Existing Multifamily Housing Projects, ALN 14.155 Finding Resolution Status: Resolved. Information on Universe Population Size: All replacement reserve deposits for the year ended December 31, 2024. Sample Size Information: All replacement reserve deposits for the year ended December 31, 2024. Identification of Repeat Finding and Finding Reference Number: No. Criteria: In accordance with HUD, timely monthly deposits must be made to the Project’s reserve for replacement account. Statement of Condition: As a result of not requesting a timely increase to the reserve for replacement account, the Project made unauthorized deposits to the account totaling $18,000. Cause: The Project’s reserve for replacement funds authorization form expired on April 30, 2024. An updated funds authorization form was not submitted in a timely manner and HUD’s approval was not obtained until January 8, 2025. Effect or Potential Effect: The Project overfunded the reserve for replacement account by $18,000 in the current year. Auditor Non-Compliance Code: N – Reserve for Replacements Deposits. Reporting Views of Responsible Officials: The Project agrees with the finding and the auditor’s recommendations have been adopted. Recommendation: Management should implement procedures to ensure that the increase to the reserve for replacement account is properly applied with timely HUD authorization via form HUD-9250. Response Indicator: Agree. Completion Date: 01/08/2025 Response: Staff training has been provided to ensure the correct RR amounts are deposited and a timely increase from HUD is received. This has been included in the monthly reporting procedures.