FAC Explorer

Audit 400193

FY End
2025-12-31
Total Expended
$5.00M
Findings
1
Programs
1
Organization: Golden Ridge Housing Inc. (RI)
Year: 2025 Accepted: 2026-04-29
Auditor: FJ & ASSOCIATES PLLC

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
1210859 2025-001 Material Weakness Yes P

Programs

ALN Program Spent Major Findings
14.157 SUPPORTIVE HOUSING FOR THE ELDERLY $77,562 Yes 0

Contacts

Name Title Type
RTNJQKNC79Q1 Julie Leddy Auditee
4018284367 Scott Farnes Auditor
No contacts on file

Notes to SEFA

The Schedule of Expenditures of Federal Awards (the Schedule) presents the activity of all federal award programs of the Corporation. All federal awards received directly from federal agencies as well as federal awards passed through other governmental agencies or other entities are included in the Schedule. The Corporation has elected not to use the 10 percent de minimis indirect cost rate allowed under the Uniform Guidance.
The Corporation’s Schedule of Expenditures of Federal Awards has been prepared using the same basis of accounting as the December 31, 2025, financial statements of the Corporation. The Corporation reports to HUD using the accrual basis of accounting. A complete description of the basis of accounting is included in note 1 to those financial statements.
In connection with various federal grant programs, the Corporation is obligated to administer related programs and spend the funds in accordance with regulatory restrictions and is subject to audit by grantor agencies and other auditors. In cases of noncompliance, the agencies involved may require the Corporation to refund program funds.
The end of the year balance for the Section 202 Capital Advance was $4,925,800.

Finding Details

Finding 2025-001
Finding 2025-001: Failure to Establish and Fund Residual Receipts Account Condition: The Corporation reported surplus cash of $5,822 for the year ended December 31, 2024. However, as of December 31, 2025, the Corporation had not established or deposited these funds into a residual receipts account, as required by the HUD Regulatory Agreement. Criteria: The HUD Regulatory Agreement requires that any surplus cash determined at fiscal yearend be deposited into a residual receipts account within 60 days of the year end in which the surplus is calculated. Cause: Management did not deposit the required funds within the timeframe prescribed by the HUD Regulatory Agreement. This appears to be due to the limited cash availability. Management prioritized available cash for operating obligations and did not timely notify HUD or request guidance regarding the delayed residual receipts funding. Effect: Failure to timely establish and fund the residual receipts account, notify HUD, or request guidance results in noncompliance with the HUD Regulatory Agreement. Continued noncompliance may subject the Corporation to increased HUD oversight, required corrective actions, or potential sanctions, and could impact the Corporation’s standing with HUD. Recommendation: We recommend that management notify HUD of the untimely residual receipts deposit and the Corporation’s current cash constraints, and request guidance on the appropriate corrective action, including approval of a late deposit or an alternative arrangement. Management should ensure that any required residual receipts are deposited in accordance with HUD’s direction and should implement procedures to annually calculate surplus cash and ensure timely residual receipts funding or documented HUD approval when exceptions arise. The surplus cash for the year ended December 31, 2025 has a negative surplus cash of $19,774, which helps validate the 2024 surplus cash was needed in 2025 for operations. Response: Management acknowledges that the residual receipts account was not funded within HUD’s required timeframe due to limited cash availability needed for operations; management will notify HUD, request guidance, and ensure timely funding or documented HUD approval going forward.