FAC Explorer

Audit 388916

FY End
2025-06-30
Total Expended
$10.49M
Findings
2
Programs
2
Organization: Casa Santa Maria (CA)
Year: 2025 Accepted: 2026-02-24
Auditor: HOLTHOUSE CARLIN & VAN TRIGT LLP

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
1175221 2025-001 Material Weakness Yes B
1175222 2025-001 Material Weakness Yes B

Programs

ALN Program Spent Major Findings
14.155 MORTGAGE INSURANCE FOR THE PURCHASE OR REFINANCING OF EXISTING MULTIFAMILY HOUSING PROJECTS $8.39M Yes 1
14.195 PROJECT-BASED RENTAL ASSISTANCE (PBRA) $2.10M Yes 1

Contacts

Name Title Type
DZN2BD8YAB83 Sarkis Avedikian Auditee
3232583512 Dave Bierhorst Auditor
No contacts on file

Notes to SEFA

The accompanying Schedule of Expenditures of Federal Awards (the Schedule) includes the federal grant activity of Casa Santa Maria, HUD Project Nos. CA16T781007 and 143-11180, under programs of the federal government for the year ended June 30, 2024. 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 Project, it is not intended and does not present the financial position, changes in net assets, or cash flows of the Project.

Finding Details

Finding 2025-001
Statement of Condition – The Project paid property management fees exceeding the limit per Form HUD-9839-B, which is defined as the lesser of 4.15% of residential and miscellaneous income collected or $81.21 per unit per month. Criteria – HUD Handbook 4381.5, REV-2 and the executed Form HUD-9839-B stipulate that management fees must not exceed the amount approved by HUD. Any deviation requires prior written approval from HUD. Effect – The Project is not in compliance with HUD regulations. Cause – The Project paid the property management fee based on 4.15% of residential and miscellaneous income without consideration of the $81.21 per unit per month limitation. Amount – $8,915 Recommendation – Management should reimburse the Project for the overpayment of property management fees. Management’s Response – Management acknowledges the error and agrees to the amount owed for the overpayment of property management fees and have updated their procedures to ensure future compliance. The Project was reimbursed for the overpayment as of the independent auditor’s report date.