FAC Explorer

Audit 366520

FY End
2024-12-31
Total Expended
$3.10M
Findings
1
Programs
2
Organization: Benet Place South (MN)
Year: 2024 Accepted: 2025-09-17
Auditor: Cliftonlarsonallen LLP

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
1153304 2024-002 Material Weakness Yes N

Programs

ALN Program Spent Major Findings
14.157 Supportive Housing for the Elderly $2.80M Yes 1
14.182 Lower Income Housing Assistance Program_section 8 New Construction/substantial Rehabilitation $296,230 Yes 0

Contacts

Name Title Type
ZAJKPMJPRSQ4 Doug Harrison Auditee
8173045727 Nicole Folkerts Auditor
No contacts on file

Notes to SEFA

The accompanying schedule of expenditures of federal awards (the Schedule) includes the federal award activity of Benet Place South under programs of the federal government for the year ended December 31, 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 Benet Place South, it is not intended to and does not present the financial position, changes in net assets, or cash flows of Benet Place South.
The balance of the HUD capital advance outstanding at the beginning of the year is included in the federal expenditures presented in the Schedule. There were no additional HUD loans during the year. The balance of the HUD insured mortgage outstanding at December 31, 2024 is as follows: Federal Assistance Listing Number / Program Title / Amount Outstanding U.S. Department of Housing and Urban Development: Section 202 Capital Advance / 14.157 / $2,799,900

Finding Details

Finding 2024-002
Finding Number 2024-002 In Process Federal Agency U.S. Dept. of Housing and Urban Development Federal Program Name Section 202 Capital Advance Assistance umber 14.157 Federal Award identification number and year MN46S971002-1997 Award period 2024 Compliance Requirement Affected S - Internal Controls Type of Finding Material Weakness - in Internal Control over Financial Reporting Material Weakness in Internal Control over Compliance Criteria Management is responsible for ensuring there are controls in place and they are being followed. Condition The Project should ensure internal control processes are documented and followed. Cause A formal review process had not been adopted during 2024, after the transition in management. The HUD approved budget for the 24-25 grant period, one replacement reserve withdrawal, and the bank reconciliations for August through December did not have documented review or approval. Effect Potential for incorrect reporting. Repeat Finding No Recommendation The Project should establish and follow a consistent review process for budgets, replacement reserve withdrawals, and bank reconciliations. Views of Responsible Officials and Planned Corrective Actions No disagreements with the finding. Management Response Management continues to review and establish monthly processes related to review and approval of budgets, replacement reserve withdrawals, and bank reconciliations.