FAC Explorer

Audit 369920

FY End
2024-12-31
Total Expended
$3.75M
Findings
1
Programs
2
Organization: Tenants to Homeowners, Inc. (KS)
Year: 2024 Accepted: 2025-09-30
Auditor: Ssc CPAS P A

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
1157903 2024-003 Material Weakness Yes L

Programs

ALN Program Spent Major Findings
21.027 Coronavirus State and Local Fiscal Recovery Funds $2.02M Yes 1
14.239 Home Investment Partnerships Program $1.73M Yes 0

Contacts

Name Title Type
V888YCNKX1R7 Rebecca Buford Auditee
7857602058 Addyson McKenna Auditor
No contacts on file

Notes to SEFA

The accompanying schedule of expenditures of federal awards (the schedule) includes the federal grant activity of Tenants to Homeowners, Inc. (the Organization) 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 the Organization, it is not intended to and does not present the financial position, changes in net assets, or cash flows of the Organization.
Expenditures reported in 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.
The Organization’s outstanding forgivable loans balances with the U.S Department of Housing and Urban Development (passed through the Kansas Housing Resource Corporation) as of December 31, 2024 totaled $1,750,000.
In accordance with Section 2 U.S. Code of Federal Regulations Part 200.412 the Organization is allowed to elect to use the ten percent de minimis indirect cost rate. The Organization did not elect to use the 10% de minimis indirect cost rate.
The schedule includes $2,016,401 of expenditures of federal awards under Coronavirus State and Local Fiscal Recovery Funds program, Assistance Listing Number 21.027, that were used to purchase properties inventory and property and equipment in the amount of $2,016,401 that is recorded in the Consolidated Statements of Financial Position of the Organization as of December 31, 2024.

Finding Details

Finding 2024-003
Double reported expenses (Material Weakness) Criteria: CFR 200 § 200.328. The recipient or subrecipient must submit timely and accurate financial reports as required by the Federal award. Condition: Expenses were used for both a draw request of funds and reporting of funds for separate federal funding sources. Cause: Tracking of expenditures at the project level and not against the grant funding and lack of segregation of duties related to grant reporting. Effect: Reporting for the federal program was not accurate based on the expenses used. Questioned Costs: $75,827 Perspective: Federal expenditures were found to be used for reporting purposes of the 21.027 funds but then requested in a draw process for the HOME loan expenses (CFDA 14.239). The funding allowed expenditures from the same projects and the timing of the funding overlapped. The Organization was able to identify additional expenditures for the 21.027 funds to cover the questioned costs. Repeat Finding: No Recommendation: We recommend expenditures be tracked against grant funding instead of only the project level, separate preparation and review of reporting, and additional review and oversight of those charged with governance. Views of Responsible Officials: Management acknowledges the control weaknesses as described above and plans to develop proper policies and procedures in order for the funds to be correctly used for each grant source.