Audit 39759

FY End

2022-06-30

Total Expended

$8.48M

Findings

4

Programs

2

Organization: Eugene Smilovic Housing Development Fund Corporation (NY)

Year: 2022 Accepted: 2023-08-08

Auditor: Galleros Robinson Certified Public Accountants LLP

Organization Exclusion Status:

Checking exclusion status...

ID	Ref	Severity	Repeat	Requirement
43555	2022-002	-	Yes	N
43556	2022-002	-	Yes	N
619997	2022-002	-	Yes	N
619998	2022-002	-	Yes	N

ALN	Program	Spent	Major	Findings
14.157	Supportive Housing for the Elderly - Capital Advance	$7.36M	Yes	1
14.157	Supportive Housing for the Elderly - Prac	$1.13M	Yes	1

Contacts

Name	Title	Type
ZD8CQMCG5ZS7	Luzviminda Ongteco	Auditee
7185888200	Nora Galleros	Auditor
No contacts on file

Notes to SEFA

Title: CAPITAL ADVANCE Accounting Policies: The accompanying schedule has been prepared on the accrual basis of accounting. The information in this schedule is presented in accordance with the requirements of the Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance). Therefore, some amounts presented in the schedules may differ from amounts presented in or used in the preparation of the basic financial statements. De Minimis Rate Used: Y Rate Explanation: In the absence of a federally approved indirect cost rate, the Corporation has elected to use the ten percent de minimis indirect cost rate allowed under the Uniform Guidance. The Corporation have total advances of $7,358,100 which remains outstanding as of June 30, 2022. This is capital advance under a Building Loan Agreement with HUD to finance the construction of Eugene Smilovic Arms. The total advance is included as federal expenditures in the schedule.

Finding Details

Finding 2022-002

Criteria Any funds in the project funds account (including earned interest) at the end of the fiscal year shall be deposited in a federally insured account within 60 days following the end of the fiscal year. (24 CFR section 891.400(e)). Condition Residual receipt was not funded within 60 days from the Organization?s fiscal year end. Questioned Cost None. Context Cash surplus for the year ended June 30, 2022 was not deposited timely. Cause An oversight which was corrected. Effect Residual receipt requirement was not complied with during fiscal year 2022. Recommendation We recommend that the Organization regularly monitors cash surplus to ensure that it complies with the requirements of 24 CFR section 891.400(e). View of Responsible Official and Planned Corrective Action We will regularly perform surplus calculation and comply with the required funding of the residual receipts account and will fund in within 60 days from the Corporation?s year end.

Finding 2022-002

Criteria Any funds in the project funds account (including earned interest) at the end of the fiscal year shall be deposited in a federally insured account within 60 days following the end of the fiscal year. (24 CFR section 891.400(e)). Condition Residual receipt was not funded within 60 days from the Organization?s fiscal year end. Questioned Cost None. Context Cash surplus for the year ended June 30, 2022 was not deposited timely. Cause An oversight which was corrected. Effect Residual receipt requirement was not complied with during fiscal year 2022. Recommendation We recommend that the Organization regularly monitors cash surplus to ensure that it complies with the requirements of 24 CFR section 891.400(e). View of Responsible Official and Planned Corrective Action We will regularly perform surplus calculation and comply with the required funding of the residual receipts account and will fund in within 60 days from the Corporation?s year end.

Finding 2022-002

Criteria Any funds in the project funds account (including earned interest) at the end of the fiscal year shall be deposited in a federally insured account within 60 days following the end of the fiscal year. (24 CFR section 891.400(e)). Condition Residual receipt was not funded within 60 days from the Organization?s fiscal year end. Questioned Cost None. Context Cash surplus for the year ended June 30, 2022 was not deposited timely. Cause An oversight which was corrected. Effect Residual receipt requirement was not complied with during fiscal year 2022. Recommendation We recommend that the Organization regularly monitors cash surplus to ensure that it complies with the requirements of 24 CFR section 891.400(e). View of Responsible Official and Planned Corrective Action We will regularly perform surplus calculation and comply with the required funding of the residual receipts account and will fund in within 60 days from the Corporation?s year end.

Finding 2022-002

Criteria Any funds in the project funds account (including earned interest) at the end of the fiscal year shall be deposited in a federally insured account within 60 days following the end of the fiscal year. (24 CFR section 891.400(e)). Condition Residual receipt was not funded within 60 days from the Organization?s fiscal year end. Questioned Cost None. Context Cash surplus for the year ended June 30, 2022 was not deposited timely. Cause An oversight which was corrected. Effect Residual receipt requirement was not complied with during fiscal year 2022. Recommendation We recommend that the Organization regularly monitors cash surplus to ensure that it complies with the requirements of 24 CFR section 891.400(e). View of Responsible Official and Planned Corrective Action We will regularly perform surplus calculation and comply with the required funding of the residual receipts account and will fund in within 60 days from the Corporation?s year end.