FAC Explorer

Audit 398782

FY End
2025-12-31
Total Expended
$1.16M
Findings
1
Programs
3
Organization: Blue Earth County (MN)
Year: 2025 Accepted: 2026-04-15
Auditor: ABDO LLP

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
1206654 2025-001 Material Weakness Yes N

Programs

ALN Program Spent Major Findings
14.871 SECTION 8 HOUSING CHOICE VOUCHERS $653,872 Yes 1
14.872 PUBLIC HOUSING CAPITAL FUND $269,769 Yes 0
14.850 PUBLIC AND INDIAN HOUSING $237,873 Yes 0

Contacts

Name Title Type
K3C7DK2MBJX4 Dean Roles Auditee
5073878677 Thomas Olinger Auditor
No contacts on file

Notes to SEFA

The accompanying Schedule of Expenditures of Federal Awards includes the federal grant activity of the Blue Earth County Economic Development Authority, Minnesota (the EDA) for the year ended December 31, 2025. The EDA's reporting entity is defined in Note 1A to the EDA's financial statements. The information in this schedule is presented in accordance with the requirement of the Uniform Guidance, Audits of States, Local Governments, and Non-Profit Organizations. All Federal awards received directly from Federal agencies as well as Federal awards passed through other government agencies are included on the schedule.
Pass-through entity identifying numbers, if any, are presented where available.
No federal expenditures presented in this schedule were provided to subrecipients.

Finding Details

Finding 2025-001
HQS Enforcement U.S Department of Housing and Urban Development Section 8 Housing Choice Voucher Program 14.871 Condition: The EDA failed to comply with Uniform Guidance requirements related to Housing Quality Standards (HQS) reinforcements. Specifically, two housing units that failed initial inspections did not undergo the required reinspections, and one housing unit was reinspected beyond the mandated 30-day timeframe. Criteria: According to the Uniform Guidance (2 CFR Part 200) and applicable sections on Housing Quality Standards, any housing unit that fails an initial inspection must be reinspected within a 30-day period to ensure compliance with HQS and address any deficiencies identified. Cause: The non-compliance appears to stem from a lack of robust tracking and scheduling mechanisms within the EDA's inspection department. Additionally, there may have been insufficient staffing or inadequate training regarding the importance of adhering to the reinspection timelines specified in the Uniform Guidance Effect: Non-compliance with HQS reinspection requirements can result in potential safety and habitability risks for tenants residing in units that do not meet established standards. Moreover, the failure to adhere to federal guidelines may jeopardize the EDA's eligibility for federal funding or lead to financial penalties, impacting the agency's ability to support housing initiatives effectively.