FAC Explorer

Audit 408420

FY End
2025-12-31
Total Expended
$2.68M
Findings
2
Programs
2
Organization: Liberty Georgian Arms Housing Development Fund Company, Inc. (NY)
Year: 2025 Accepted: 2026-08-03
Auditor: DIMARCO ABIUSI & PASCARELLA CPAS PC

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
1225539 2025-001 Material Weakness Yes L
1225540 2025-002 Material Weakness Yes L

Programs

ALN Program Spent Major Findings
14.155 MORTGAGE INSURANCE FOR THE PURCHASE OR REFINANCING OF EXISTING MULTIFAMILY HOUSING PROJECTS $2.42M Yes 2
14.195 PROJECT-BASED RENTAL ASSISTANCE (PBRA) $264,022 Yes 0

Contacts

Name Title Type
C2Z7DJ8ZCQL6 Dawn Olmstead Auditee
3153371401 Maria Snyder Auditor
No contacts on file

Notes to SEFA

Basis Of Presentation An accompanying schedule of expenditures of federal awards includes the federal award activity of Liberty Georgian Arms HDFC, Inc., Project No. 014-35240, and is presented on the accrual basis of accounting. 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 Liberty Georgian Arms HDFC, Inc., it is not intended to and does not present the financial position, change in net assets (deficit), or cash flows of Liberty Georgian Arms HDFC, Inc.
Summary of Significant Accounting Policies 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. Liberty Georgian Arms HDFC, Inc. has elected not to use the 15-percent de minimis indirect cost rate allowed under the Uniform Guidance.
U.S Department of Housing and Urban Development Loan Program Liberty Georgian Arms HDFC, Inc. has received a U.S. Department of Housing and Urban Development direct loan under Section 207/223F of the National Housing Act. The loan balance outstanding at the beginning of the year is included in the federal expenditures presented in the Schedule. Liberty Georgian Arms HDFC, Inc. received no additional loans during the year. The balance of the loan outstanding at December 31, 2025 consists of the following: ALN: 14.155; Program Name: Section 207/223F, Mortgage Insurance for the Purchase or Refinance of Existing Multifamily Projects; Outstanding Balance at December 31, 2025: $2,377,605.

Finding Details

Finding 2025-001
Finding No. 2025-001: Prior Year Reporting Package and Data Collection Not Filed Timely a. Liberty Georgian Arms HDFC, Inc. December 31, 2024 reporting package and data collection form was not filed with the Federal Audit Clearinghouse on time. b. Criteria: 2 CFR section 200.512(a)(1) requires the reporting package and data collection form to be submitted to the Federal Audit Clearinghouse the earlier of 30 days after the reports are received from the auditors or nine months after the end of the audit period. c. Effect of condition: The effect is that the project would not be considered a “Low Risk Auditee” for at least the fiscal years ending December 31, 2025 and December 31, 2026. This designation will require the auditor to audit at least 40% of the project’s programs as Major programs until such time that the project may be considered a “Low Risk Auditee” again. d. Cause of condition: The reporting package and data collection form was submitted to the Federal Audit Clearinghouse late. Management made multiple attempts to follow up with the prior CPA firm to ensure timely completion of an audit. Responses from CPA firm were significantly delayed, often requiring multiple follow-ups before action was taken. The form was submitted on January 15, 2026. e. Recommendation: We recommend that management implement procedures to ensure that reporting packages and data collection forms are filed timely in the future. f. Views of responsible officials and planned corrective actions: Liberty Georgian Arms HDFC, Inc. agrees with the finding and the auditor’s recommendations have been adopted. Management has since engaged a new CPA firm to perform audit services.
Finding 2025-002
Finding No. 2025-002: Current Year audit submission was late. a. The Liberty Georgian Arms HDFC, Inc. December 31, 2025 audit was not submitted to the Real Estate Assessment Center (REAC) within 90-days. b. Criteria: The HUD regulatory agreement requires the audit to be submitted to the Real Estate Assessment center within 90-days of yearend. c. Effect of condition: The effect is that the project would not be in compliance with HUD regulations. d. Cause of condition: The audit material was submitted late to the auditor due to an unexpected software implementation issue. e. Recommendation: We recommend that management implement procedures to ensure that audit material is submitted to the auditor in a timely manner in the future. f. Views of responsible officials and planned corrective actions: Liberty Georgian Arms HDFC, Inc. agrees with the finding and the auditor’s recommendations have been adopted.