FAC Explorer

Audit 47322

FY End
2022-06-30
Total Expended
$1.14M
Findings
6
Programs
2
Organization: Parc Community Homes, Inc. Project No. 072-Hd077 (IL)
Year: 2022 Accepted: 2022-12-19
Auditor: Cliftonlarsonallen

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
51573 2022-001 Significant Deficiency Yes P
51574 2022-002 Significant Deficiency - P
51575 2022-003 Significant Deficiency - P
628015 2022-001 Significant Deficiency Yes P
628016 2022-002 Significant Deficiency - P
628017 2022-003 Significant Deficiency - P

Programs

ALN Program Spent Major Findings
14.181 Supportive Housing for Persons with Disabilities $1.11M Yes 3
14.195 Section 8 Housing Assistance Payments Program $27,058 - 0

Contacts

Name Title Type
C8GDHPKKLHD5 Steve Rollins Auditee
3096913800 Rusty Gibson Auditor
No contacts on file

Notes to SEFA

Title: Loan/loan guarantee outstanding balances Accounting Policies: Basis of AccountingThe accompanying schedule of expenditures of federal awards is prepared on the accrualbasis of accounting. Nonmonetary AssistanceThe capital advance mortgage note in the amount of $1,111,100 to the U.S. Department of Housing and Urban Development is secured by the apartment project. De Minimis Rate Used: N Rate Explanation: The auditee did not use the de minimis cost rate. SUPPORTIVE HOUSING FOR PERSONS WITH DISABILITIES (14.181) - Balances outstanding at the end of the audit period were 1111000.
Title: Additional Information Accounting Policies: Basis of AccountingThe accompanying schedule of expenditures of federal awards is prepared on the accrualbasis of accounting. Nonmonetary AssistanceThe capital advance mortgage note in the amount of $1,111,100 to the U.S. Department of Housing and Urban Development is secured by the apartment project. De Minimis Rate Used: N Rate Explanation: The auditee did not use the de minimis cost rate. The Corporation did not receive any federal awards in the form of noncash assistance forinsurance in effect during the year. In addition, the Corporation did not pass through any federal grants to subrecipients.

Finding Details

Finding 2022-001
Type of Finding: Significant Deficiency in Internal Control over Financial Reporting. Condition: There is minimal segregation of duties among personnel involved in the accounting function. Criteria or Specific Requirement: A proper segregation of duties is an important component of a system of strong internal controls and should be implemented if possible. Cause: There are a small number of personnel to whom to allocate responsibilities in accounting functions. Effect: A lack of segregation of duties increase the risk that errors may occur and not be prevented or detected on a timely basis. Repeat Finding: Yes, Prior year finding 2021-002
Finding 2022-002
Type of Finding: Other Matters, Significant Deficiency in Internal Control over Compliance Criteria or Specific Requirement: HUD requires security deposits refunds to be disbursed to the former tenant and in the appropriate amount within 30 days of move-out. If no refund is given, the tenant should receive and itemized listing of any unpaid rent, damages to the unit, and any estimated cost for repair. Condition: We noted a refund was not provided to a tenant within 30 days after the tenant's move-out date.. Questioned Costs: None Context: We noted a refund was not provided to a tenant within 30 days after the tenant's move-out date. Cause: Management oversight. Effect: The corporation is not in compliance with HUD requirements. Repeat Finding: No.
Finding 2022-003
Type of Finding: Other Matters, Significant Deficiency in Internal Control over Compliance Criteria or Specific Requirement: HUD regulations and the regulatory agreement required deposits into the reserve for replacements of $500 per month from July 2021 through June 2022. Condition: The Corporation did not deposit the required amounts into the reserve for replacements for each month during the year ended June 30, 2022. Questioned Costs: None Context: The Corporation had a $150 deficiency in the reserve from replacements from fiscal year 2022. The Corporation made up for the prior year deficiency, however, it did not deposit the required current year amounts into the reserve for replacements for each month during the year ended June 30, 2022. Cause: Management Oversight Effect: The Corporation's reserve for replacements was under funded by $150 at June 30, 2022. Repeat Finding: No.
Finding 2022-001
Type of Finding: Significant Deficiency in Internal Control over Financial Reporting. Condition: There is minimal segregation of duties among personnel involved in the accounting function. Criteria or Specific Requirement: A proper segregation of duties is an important component of a system of strong internal controls and should be implemented if possible. Cause: There are a small number of personnel to whom to allocate responsibilities in accounting functions. Effect: A lack of segregation of duties increase the risk that errors may occur and not be prevented or detected on a timely basis. Repeat Finding: Yes, Prior year finding 2021-002
Finding 2022-002
Type of Finding: Other Matters, Significant Deficiency in Internal Control over Compliance Criteria or Specific Requirement: HUD requires security deposits refunds to be disbursed to the former tenant and in the appropriate amount within 30 days of move-out. If no refund is given, the tenant should receive and itemized listing of any unpaid rent, damages to the unit, and any estimated cost for repair. Condition: We noted a refund was not provided to a tenant within 30 days after the tenant's move-out date.. Questioned Costs: None Context: We noted a refund was not provided to a tenant within 30 days after the tenant's move-out date. Cause: Management oversight. Effect: The corporation is not in compliance with HUD requirements. Repeat Finding: No.
Finding 2022-003
Type of Finding: Other Matters, Significant Deficiency in Internal Control over Compliance Criteria or Specific Requirement: HUD regulations and the regulatory agreement required deposits into the reserve for replacements of $500 per month from July 2021 through June 2022. Condition: The Corporation did not deposit the required amounts into the reserve for replacements for each month during the year ended June 30, 2022. Questioned Costs: None Context: The Corporation had a $150 deficiency in the reserve from replacements from fiscal year 2022. The Corporation made up for the prior year deficiency, however, it did not deposit the required current year amounts into the reserve for replacements for each month during the year ended June 30, 2022. Cause: Management Oversight Effect: The Corporation's reserve for replacements was under funded by $150 at June 30, 2022. Repeat Finding: No.