FAC Explorer

Audit 397381

FY End
2025-06-30
Total Expended
$2.04M
Findings
2
Programs
3
Organization: Madison Interfaith Residential Community, Inc. (CT)
Year: 2025 Accepted: 2026-04-01
Auditor: WHITTLESEY PC

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
1205670 2025-001 Material Weakness Yes P
1205671 2025-001 Material Weakness Yes P

Programs

ALN Program Spent Major Findings
10.427 RURAL RENTAL ASSISTANCE PAYMENTS $341,159 Yes 0
10.415 RURAL RENTAL HOUSING LOANS $170,039 Yes 1
21.027 CORONAVIRUS STATE AND LOCAL FISCAL RECOVERY FUNDS $13,000 Yes 0

Contacts

Name Title Type
ZQ76E69YPP55 Tonya Lyon Auditee
8603985425 Edward Engberg Auditor
No contacts on file

Notes to SEFA

The accompanying schedule of expenditures of federal awards (the “Schedule”) includes the federal award activity of Madison Interfaith Residential Community, Inc. d/b/a Concord Meadows (the “Project”) under programs of the 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 operations of the Project, it is not intended to and does not present the financial position, changes in net assets, or cash flows of the Project.
Expenditures reported on 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 Project has elected not to use the 10% de minimis indirect cost rate allowed under the Uniform Guidance.
The balances and transactions related to the federal rural rental housing loan program are included in the Project’s basic financial statements. Loans outstanding at the beginning of the year are included in the federal expenditures presented in the Schedule. There were no loans made during the year ended June 30, 2025. The balance of loans outstanding at June 30, 2025 was $1,395,023.

Finding Details

Finding 2025-001
Finding No. 2025-001 – Replacement Reserve Funding – Other Matter Criteria: The Project is required to make annual deposits to a replacement reserve account in accordance with its approved budget. Condition: During our audit, we noted that the replacement reserve established for the program was not funded at the minimum level required by the USDA-RD approved budget. As of the fiscal year‑end, the reserve balance was approximately $7,500 below the required threshold. Effect: The Project is not in compliance with the replacement reserve funding requirement. Cause: The Project relied on outdated reserve schedules and did not reconcile actual contributions to required amounts. Additionally, the Project’s monitoring controls were insufficient to identify the underfunding on a timely basis. Recommendation: We recommend that management implement a quarterly review process to verify that replacement reserve contributions meet required levels. We also recommend management fund the reserve shortage promptly and develop a plan to prevent future underfunding. Reporting Views of Responsible Officials: Management agrees with the finding, see the Corrective Action Plan.