FAC Explorer

Audit 382257

FY End
2025-09-30
Total Expended
$1.05M
Findings
2
Programs
2
Organization: Hands Triad Housing, Inc. (PA)
Year: 2025 Accepted: 2026-01-16
Auditor: MCGILL POWER BELL & ASSOCIATES LLP

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
1169310 2025-001 Material Weakness Yes P
1169311 2025-002 Material Weakness Yes P

Programs

ALN Program Spent Major Findings
14.181 SUPPORTIVE HOUSING FOR PERSONS WITH DISABILITIES $951,800 Yes 2
14.182 LOWER INCOME HOUSING ASSISTANCE PROGRAM_SECTION 8 NEW CONSTRUCTION/SUBSTANTIAL REHABILITATION $99,298 Yes 0

Contacts

Name Title Type
N6CMJHW5DFA8 Matthew Good Auditee
8144533333 Shawn Emerson Auditor
No contacts on file

Notes to SEFA

The accompanying Schedule of Expenditures of Federal Awards (the Schedule) includes the federal award activity of HANDS Triad Housing, Inc., HUD Project #033-HD013, under programs of the federal government for the year ended September 30, 2025. 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 HANDS Triad Housing, Inc., it is not intended to and does not present the financial position, changes in net assets, or cash flows of HANDS Triad Housing, Inc.
(3) Balances of loans and loan guarantee programs outstanding at the end of the audit period for loans under 2 CFR Section 200.502(b) are as follows: - HUD Capital Advance Program $ 951,800

Finding Details

Finding 2025-001
Statement of Condition: During our audit, we found the Project did not remit residual receipt balances in excess of $250 per unit to HUD by the Project Rental Assistance Contract renewal date. Criteria: Pursuant to statutory language from the Consolidated and Further Continuing Appropriations Act, HUD is required to recapture residual receipt balances that are in excess of $250 per unit. The fund must be remitted to HUD upon “termination” of the Project Rental Assistance Contract. Termination is defined as expiration of the contract term, which for most PRACs falls on contract renewal date. Effect of Condition: This is a violation of the HUD Regulations. Cause of Condition: The procedures in place to ensure the excess residual receipts remittance was made timely were not consistently followed. Recommendation: We recommend that management establish formal procedures to ensure excess residual receipts are returned to HUD as required. Response: See Corrective Action Plan.
Finding 2025-002
2025-02 – Supportive Housing for Disabled Persons ALN 14.181 Statement of Condition: During the audit, we noted that another property paid one month of HANDS Triad Housing, Inc.'s insurance audit escrow. This payment was not identified until after year end, resulting in an inter-property loan that was not approved by HUD. Criteria: Per HUD Handbook 4370.1, project funds must be used solely for purposes related to the operation of the specific multifamily property. Loans or advances from a project to another project, related business, or individual are considered unauthorized distributions of project assets unless approved by HUD. Effect of Condition: This is a violation of the HUD Regulations. Questioned Costs: $3,372 Cause of Condition: There was insufficient review or verification of payment details before processing. Recommendation: We recommend that management implement procedures to ensure payments are posted to the correct property accounts. This should include verification of account selection prior to payment processing. Response: See Corrective Action Plan.