FAC Explorer

Audit 401063

FY End
2025-12-31
Total Expended
$1.47M
Findings
2
Programs
1
Organization: Housing Opportunities Team, INC (OR)
Year: 2025 Accepted: 2026-05-11
Auditor: LOVERIDGE HUNT & CO PLLC

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
1214403 2025-001 Material Weakness Yes N
1214404 2025-001 Material Weakness Yes N

Programs

ALN Program Spent Major Findings
14.181 SUPPORTIVE HOUSING FOR PERSONS WITH DISABILITIES $98,108 Yes 1

Contacts

Name Title Type
CLE5CMP28T69 Lindsay Hallberg Auditee
5036541007 Ron Fechtner Auditor
No contacts on file

Notes to SEFA

The accompanying Schedule of Expenditures of Federal Awards (the Schedule) includes the federal award activity of Housing Opportunities Team, Inc. (the Corporation) under programs of federal government for the year ended December 31, 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 operation of the Corporation, it is not intended to and does not present the financial position, changes in net assets, or cash flows of the Corporation.
At December 31, 2025, the Corporation had the Section 811 capital advance funds which are presented within the net assets with donor restrictions and are included in the federal expenditures presented. Program or Cluster Title: Supportive Housing for Persons with Disabilities (Section 811 Capital Advance) Federal Assistance Listing Number: 14.181 Amount Outstanding: $ 1,373,700

Finding Details

Finding 2025-001
Finding Reference Number: 2025-001 Title and Assistance Listing Number of Federal Program: 14.181 Supportive Housing for Persons with Disabilities (Section 811 Capital Advance) and Project Rental Assistance Contract Type of Finding: Federal Award Finding Finding Resolution Status: Resolved Information on Universe and Population Size: N/A Sample Size Information: The finding represents a systemic problem. Identification of Repeat Finding and Finding Reference Number: Not a repeat finding. Criteria: Per program requirement and the project’s Regulatory Agreement, the owner is required to make monthly deposits to the replacement reserve account in amounts prescribed by HUD. Statement of Condition: Six of the twelve monthly required deposits, totaling $3,284, were not made to the replacement reserve account, and no prior written approval was obtained from HUD. Cause: Management indicated that they were suspending payments to cover certain expenses. Effect or Potential Effect and Perspective: The Organization is in non-compliance with specific requirements of a major HUD-assisted program. Auditor Non-Compliance Code: N - Reserve for replacements deposits Questioned Costs: $ - Reporting Views of Responsible Officials: Management and ownership agreed with the finding and has implemented a corrective action plan. Please identify the property(s) and associated questioned costs this finding applies to: Meadowlark Apartments FHA/Contract Number: 126-HD038 Context: As noted above, the issue noted was found in 6 out of 12 monthly required deposits due to prioritizing cash for other operating payments. Recommendation: We recommend to the management for them to implement a monthly review of the replacement reserve balances, with documented confirmation that balances meet required threholds. Auditor's Summary of Auditee's Comments on the Findings and Recommendations: Management and ownership agreed with the auditor and made catch-up deposits totaling $3,284 on April 30, 2026. Response Indicator: Agree Completion Date: 4/30/2026 Response: Ownership agreed with the finding and has implemented a corrective action plan. Contact Person First Name: Matthew Contact Person Middle Initial: Contact Person Last Name: Wrigley