FAC Explorer

Audit 444

FY End
2023-07-31
Total Expended
$967,279
Findings
2
Programs
2
Organization: Virginia Place Apartments INC (LA)
Year: 2023 Accepted: 2023-09-29
Auditor: Johnson Perry Roussel & Cuthbert LLP

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
220 2023-001 - Yes N
576662 2023-001 - Yes N

Programs

ALN Program Spent Major Findings
14.181 Supportive Housing for Persons with Disabilities $903,700 Yes 1
14.195 Section 8 Housing Assistance Payments Program $63,579 - 0

Contacts

Name Title Type
MC64LDFG2716 Veronica Glover Auditee
3188651422 Jay Cuthbert Auditor
No contacts on file

Notes to SEFA

Title: Basis of Presentation 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 toreimbursement. Virginia Place Apartments, Inc. has elected not to use the 10-percent de minimis indirect cost rate allowed under the Uniform Guidance. De Minimis Rate Used: N Rate Explanation: Virginia Place Apartments, Inc. has elected not to use the 10-percent de minimis indirect cost rate allowed under the Uniform Guidance. The accompanying schedule of expenditures of federal awards includes the federal award activity of Virginia Place Apartments, Inc., HUD Project No. 064-HD071-CMI-NP-I8, 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 Virginia Place Apartments, Inc., it is not intended to and does not present the financial position, changes in net assets, or cash flows of Virginia Place Apartments, Inc.
Title: Capital Advance 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 toreimbursement. Virginia Place Apartments, Inc. has elected not to use the 10-percent de minimis indirect cost rate allowed under the Uniform Guidance. De Minimis Rate Used: N Rate Explanation: Virginia Place Apartments, Inc. has elected not to use the 10-percent de minimis indirect cost rate allowed under the Uniform Guidance. The outstanding balance of the Capital Advance at June 30, 2023 was 903,700.

Finding Details

Finding 2023-001
Criteria: The Project is required to make monthly deposits of $800 into the Project’s Reserve for Replacement account. Condition: The Project did not make all monthly deposits to the Project’s Reserve for Replacement account. Cause: The Project did not have cash flow available to make the monthly Reserve for Replacement deposits. Effect: The Project is behind on deposits to its Reserve for Replacement account in the amount of $1,600 as of June 30, 2023. Questioned Costs: None Other Information: Two of twelve monthly deposits were not made. This was a repeat finding. Recommendation: The Management Agent should closely monitor cash flow to ensure sufficient funds are maintained to meet the Reserve for Replacement requirements. Response: Management agrees with the finding and deposited the delinquent Reserve for Replacement deposits in the amount of $1,600 on July 10, 2023.
Finding 2023-001
Criteria: The Project is required to make monthly deposits of $800 into the Project’s Reserve for Replacement account. Condition: The Project did not make all monthly deposits to the Project’s Reserve for Replacement account. Cause: The Project did not have cash flow available to make the monthly Reserve for Replacement deposits. Effect: The Project is behind on deposits to its Reserve for Replacement account in the amount of $1,600 as of June 30, 2023. Questioned Costs: None Other Information: Two of twelve monthly deposits were not made. This was a repeat finding. Recommendation: The Management Agent should closely monitor cash flow to ensure sufficient funds are maintained to meet the Reserve for Replacement requirements. Response: Management agrees with the finding and deposited the delinquent Reserve for Replacement deposits in the amount of $1,600 on July 10, 2023.