FAC Explorer

Audit 415446

FY End
2025-12-31
Total Expended
$1.60M
Findings
1
Programs
1
Organization: St. Croix Labor Union Mutual Homes, Inc. Phase I (NJ)
Year: 2025 Accepted: 2026-10-29
Auditor: COHNREZNICK

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
1241304 2025-001 Material Weakness Yes N

Programs

ALN Program Spent Major Findings
14.195 PROJECT-BASED RENTAL ASSISTANCE (PBRA) $1.60M Yes 1

Contacts

Name Title Type
CNYKEVH23B61 Steve Grim Auditee
6096468861 Mike Bisson Auditor
No contacts on file

Notes to SEFA

The accompanying schedule of expenditures of federal awards ("Schedule") includes the federal award activity of St. Croix Labor Union Mutual Homes, Inc. (Phase I), HUD Project No. 056-44001, under programs of the 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 operations of St. Croix Labor Union Mutual Homes, Inc. (Phase I), it is not intended to and does not present the financial position, changes in net assets, or cash flows of St. Croix Labor Union Mutual Homes, Inc. (Phase I). For the year ended December 31, 2025, no awards were passed through to recipients.
Expenditures reported on the Schedule are reported on the accrual basis of accounting. Such expenditures are recognized following, as applicable, cost principles contained in the Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement.
St. Croix Labor Union Mutual Homes, Inc. (Phase I) has elected not to use the 10-percent de minimis indirect cost rate allowed under the Uniform Guidance.

Finding Details

Finding 2025-001
Criteria In accordance with HUD Handbook 4350.3, Occupancy Requirements of Subsidized Multifamily Housing Programs, HUD projects are required to establish and maintain at all times a fully funded separate bank account for tenant security deposits collected. Condition As of December 31, 2025, management has not fully funded the tenant security deposits cash account. The tenant security deposits cash account was underfunded by $1,617. Cause Management’s policies with respect to the determination of tenant security deposits in accordance with HUD Handbook 4350.3, Occupancy Requirements of Subsidized Multifamily Housing Programs were not consistently followed. Effect or Potential Effect The procedures for determining tenant security deposits were not consistently applied in accordance with HUD Handbook 4350.3, Occupancy Requirements of Subsidized Multifamily Housing Programs. This could result in tenant security deposits being inappropriately spent. Questioned Costs $1,617 Identification as a Repeat Finding N/A - Not a repeat finding Recommendation Management should transfer $1,617 from the operating account in order to fully fund the tenant security deposits account. Auditor Noncompliance Code D - Commingling of funds Finding Resolution Status Resolved. Views of Responsible Officials Management agrees with the finding and the auditor's recommendations have been adopted. The tenant security deposit was fully funded subsequent to year end on September 9, 2026. To ensure compliance going forward the tenant security deposit account will be reconciled monthly against the liability and any shortfalls will be remedied immediately.