FAC Explorer

Audit 382486

FY End
2025-06-30
Total Expended
$913,095
Findings
1
Programs
1
Organization: Ecunet Housing, Inc. (OR)
Year: 2025 Accepted: 2026-01-16
Auditor: LOVERIDGE HUNT & CO PLLC

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
1169540 2025-001 Material Weakness Yes E

Programs

ALN Program Spent Major Findings
14.181 SUPPORTIVE HOUSING FOR PERSONS WITH DISABILITIES $75,994 Yes 1

Contacts

Name Title Type
JWPKK3AXBJ39 Barry Gault Auditee
5039637797 Hani Morcos Auditor
No contacts on file

Notes to SEFA

The accompanying Schedule of Expenditures of Federal Awards (the Schedule) includes the federal award activity of Ecunet Housing, Inc. (the Organization) under programs of federal government for the year ended June 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 operation 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.
The Organization has received a loan funded by programs of U.S. Department of Housing and Urban Development. The loan balance outstanding at the beginning of the year is included in the federal expenditures presented in the Schedule. Such balance has been included in net assets in the financial statements of the Organization as of June 30, 2025 since the likelihood of repayment is remote. The Organization received no additional loans during the year ended June 30, 2025. The balance of the loan outstanding at June 30, 2025 is as follows: Program or Cluster Title/Federal ALN/Amount Outstanding: Supportive Housing for Persons with Disabilities (Section 811)/14.181/$837,101.

Finding Details

Finding 2025-001
Title and Assistance Listing Number of Federal Program: 14.181 Supportive Housing for Persons with Disabilities (Section 811). Type of Finding: Federal Award Finding Finding Resolution Status: In progress Information on Universe and Population Size: Population is 12 tenant files. Sample Size Information: 3 tenant files Identification of Repeat Finding and Finding Reference Number: Not a repeat finding. Criteria: In accordance with eligibility and to determine whether total tenant rent payment were calculated in accordance with program requirements, the Owner and management must correctly verify and calculate income and ensure annual recertification is done timely. Statement of Condition: One of the tenant files selected for review did not have the annual recertification for 2025. Cause: Management had change in staffing that caused delay in annual reexamination and obtaining the appropriate documentation. Effect or Possible Effect and Perspective: Housing assistance may be overpaid if tenants is not eligible or income and deductions have changed from prior certification. Auditor Non-Compliance Code: R - Section 8 program administration Questioned Costs: N/A Reporting Views of Responsible Officials: Management agrees with the finding and has implemented a corrective action plan. Please identify the property(s) and associated questioned costs this finding applies to: Hopewell Apartments FHA/Contract Number: 126-HD009 Context: During our tests of compliance over the program, the documentation to support annual recertification was not complete. Recommendation: Management should ensure that all tenant certifications are performed timely as required and recommend to implement a secondary review of files. Auditor's Summary of Auditee's Comments on the Findings and Recommendations: Management and ownership agrees with the auditor. Response Indicator: Agree Completion Date: 09/15/2025 Response: Management agrees with the finding and has implemented a corrective action plan.