FAC Explorer

Audit 39366

FY End
2022-06-30
Total Expended
$2.97M
Findings
4
Programs
3
Organization: Ahepa 78 Phase Ii, Inc. (IN)
Year: 2022 Accepted: 2023-03-28
Auditor: Clark Schaefer Hackett & Company

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
41628 2022-001 - - N
41629 2022-002 Material Weakness - N
618070 2022-001 - - N
618071 2022-002 Material Weakness - N

Programs

ALN Program Spent Major Findings
14.157 Supportive Housing for the Elderly - Section 202 Hud Capital Advance $2.66M Yes 2
14.157 Supportive Housing for the Elderly - Project Rental Assistance Contract $305,292 Yes 0
14.157 Supportive Housing for the Elderly - Covid-19 - Project Rental Assistance Contract $743 Yes 0

Contacts

Name Title Type
UJA6ECVJLBV4 Dawn Cole Auditee
3178453410 Robert Kitchen Auditor
No contacts on file

Notes to SEFA

Title: Loan/loan guarantee outstanding balances Accounting Policies: Expenditures reported on the Schedule are reported on the accrual basis of accounting. Suchexpenditures are recognized following the cost principles contained in the Uniform Guidance, whereincertain types of expenditures are not allowable or are limited as to reimbursement. De Minimis Rate Used: N Rate Explanation: The auditee did not use the de minimis cost rate. The outstanding balance of the HUD Capital Advance at June 30, 2022 with continuing compliance requirements which are reported as federal expenditures on the accompanying schedule of expenditures of federal awards was $2,664,300.

Finding Details

Finding 2022-001
S3800-010 Finding reference number - 2022-001; S3800-011 Title and AL number of federal program - Supportive Housing for the Elderly, AL # 14.157; S3800-015 Type of finding - Federal Award Finding; S3800-016 Finding Resolution status Resolved; S3800-017 Information on universe population size - not applicable; S3800-018 Sample size information - not applicable; S3800-019 Identification of repeat finding and finding reference number - not applicable; S3800-020 Criteria - The Regulatory Agreement requires the deposit due residual receipts as determined by the "Computation of Surplus Cash, Distributions and Residual Receipts" to be made within 90 days of year-end in a separate bank account for Residual Receipts. S3800-030 Statement of condition - The Project did not make the required deposit to the residual receipt account per the Regulatory Agreement.; S3800-035 Auditor non-compliance code - B - Failure to Make Required Residual Receipts Deposits; S3800-037 FHA/Contract number - 073-EE034; S3800-040 Questioned costs - $33,543; S3800-045 Reporting views of responsible officials - Management concurs with the auditors' recommendation and has made the necessary deposit and the residual receipts is currently funded based on the requirements of the Regulatory Agreement.; S3800-080 Recommendation - Management should monitor internal controls over compliance.; S3800-090 Auditors' summary of the auditee's comments on the findings and recommendations - Management agrees and has made the necessary deposit after year-end.; S3800-130 Response indicator - Agree; S3800-140 Anticipated Completion Date - Completed (9/16/2022); S3800-150 Response - Concurs.
Finding 2022-002
S3800-010 Finding reference number - 2022-002; S3800-011 Title and AL number of federal program - Supportive Housing for the Elderly, AL # 14.157; S3800-015 Type of finding - Federal Award Finding; S3800-016 Finding Resolution status - Resolved; S3800-017 Information on universe population size - not applicable; S3800-018 Sample size information - not applicable; S3800-019 Identification of repeat finding and finding reference number - not applicable; S3800-020 Criteria - The Regulatory Agreement requires the deposit due residual receipts as determined by the "Computation of Surplus Cash, Distributions and Residual Receipts" to be made within 90 days of year-end in a separate bank account for Residual Receipts.; S3800-030 Statement of condition - Operation over the internal control over compliance did not prevent or detect and correct material noncompliance on a timely basis by management or employees in the normal course of performing their assigned functions.; S3800-035 Auditor non-compliance code - B - Failure to Make Required Residual Receipts Deposits; S3800-037 FHA/Contract number - 073-EE034; S3800-040 Questioned costs - n/a; S3800-045 Reporting views of responsible officials- Management concurs with the auditors' recommendation and has made the necessary changes to internal control over compliance.; S3800-080 Recommendation - Management should monitor internal controls over compliance.; S3800-090 Auditors' summary of the auditee's comments on the findings and recommendations - Management concurs S3800-130 Response indicator - Agree S3800-140 Anticipated Completion Date - Completed (9/26/2022) S3800-150 Response - Concurs
Finding 2022-001
S3800-010 Finding reference number - 2022-001; S3800-011 Title and AL number of federal program - Supportive Housing for the Elderly, AL # 14.157; S3800-015 Type of finding - Federal Award Finding; S3800-016 Finding Resolution status Resolved; S3800-017 Information on universe population size - not applicable; S3800-018 Sample size information - not applicable; S3800-019 Identification of repeat finding and finding reference number - not applicable; S3800-020 Criteria - The Regulatory Agreement requires the deposit due residual receipts as determined by the "Computation of Surplus Cash, Distributions and Residual Receipts" to be made within 90 days of year-end in a separate bank account for Residual Receipts. S3800-030 Statement of condition - The Project did not make the required deposit to the residual receipt account per the Regulatory Agreement.; S3800-035 Auditor non-compliance code - B - Failure to Make Required Residual Receipts Deposits; S3800-037 FHA/Contract number - 073-EE034; S3800-040 Questioned costs - $33,543; S3800-045 Reporting views of responsible officials - Management concurs with the auditors' recommendation and has made the necessary deposit and the residual receipts is currently funded based on the requirements of the Regulatory Agreement.; S3800-080 Recommendation - Management should monitor internal controls over compliance.; S3800-090 Auditors' summary of the auditee's comments on the findings and recommendations - Management agrees and has made the necessary deposit after year-end.; S3800-130 Response indicator - Agree; S3800-140 Anticipated Completion Date - Completed (9/16/2022); S3800-150 Response - Concurs.
Finding 2022-002
S3800-010 Finding reference number - 2022-002; S3800-011 Title and AL number of federal program - Supportive Housing for the Elderly, AL # 14.157; S3800-015 Type of finding - Federal Award Finding; S3800-016 Finding Resolution status - Resolved; S3800-017 Information on universe population size - not applicable; S3800-018 Sample size information - not applicable; S3800-019 Identification of repeat finding and finding reference number - not applicable; S3800-020 Criteria - The Regulatory Agreement requires the deposit due residual receipts as determined by the "Computation of Surplus Cash, Distributions and Residual Receipts" to be made within 90 days of year-end in a separate bank account for Residual Receipts.; S3800-030 Statement of condition - Operation over the internal control over compliance did not prevent or detect and correct material noncompliance on a timely basis by management or employees in the normal course of performing their assigned functions.; S3800-035 Auditor non-compliance code - B - Failure to Make Required Residual Receipts Deposits; S3800-037 FHA/Contract number - 073-EE034; S3800-040 Questioned costs - n/a; S3800-045 Reporting views of responsible officials- Management concurs with the auditors' recommendation and has made the necessary changes to internal control over compliance.; S3800-080 Recommendation - Management should monitor internal controls over compliance.; S3800-090 Auditors' summary of the auditee's comments on the findings and recommendations - Management concurs S3800-130 Response indicator - Agree S3800-140 Anticipated Completion Date - Completed (9/26/2022) S3800-150 Response - Concurs