Audit 47486

FY End
2022-12-31
Total Expended
$2.43M
Findings
2
Programs
1
Year: 2022 Accepted: 2023-07-04
Auditor: M Group LLP

Organization Exclusion Status:

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Findings

ID Ref Severity Repeat Requirement
48825 2022-001 - Yes N
625267 2022-001 - Yes N

Programs

ALN Program Spent Major Findings
14.157 Supportive Housing for the Elderly $136,576 Yes 0

Contacts

Name Title Type
MLV4TXPM1236 Connie Quillen Auditee
9726433222 Michael Martin Auditor
No contacts on file

Notes to SEFA

Title: Note 4: Capital Advance Balance Accounting Policies: Note 1: Basis of Presentation: This schedule of expenditures of federal awards includes the federal award activity of Golden Acres Retirement Center, Inc. under programs of the federal government for the year ended December 31, 2022.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 Audits for Federal Awards (Uniform Guidance). Because the Schedule presents only a selected portion of the operations of Golden Acres Retirement Center, Inc., it is not intended to and does not present the financial position, changes in net assets, or cash flows of Golden Acres Retirement Center, Inc. Note 2: Summary of Significant Accounting Policies: Expenditures reporting 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. De Minimis Rate Used: N Rate Explanation: Note 3: Indirect Cost Rate: Golden Acres Retirement Center, Inc. has elected not to use the 10% de minimis indirect cost rate allowed under the Uniform Guidance. Garland Estates for Seniors, Inc's capital advance balance outstanding as of December 31, 2022, was $2,180,853 and is included in the federal expenditures presented in the schedule.

Finding Details

Finding #2022-001: Section 202 Capital Advance, CFDA 14.157 Condition: The Company made 9 monthly deposits into the replacement reserve account. Criteria: The HUD regulatory agreement requires the Company to make 12 monthly deposits into the replacement reserve account. Effect: Replacement reserve account is underfunded and the Company is in violation of its Regulatory Agreement. Questioned Cost: $2,149. Cause: Oversight Recommendation: The Company should closely monitor the deposits into the replacement reserve. Auditor?s Comment: We recommend the Company closely monitor deposits into the replacement reserve to ensure compliance with the Regulatory Agreement. On March 20, 2023, the Company funded $2,149 payment to the replacement reserve. Finding 2022-001 Cleared.
Finding #2022-001: Section 202 Capital Advance, CFDA 14.157 Condition: The Company made 9 monthly deposits into the replacement reserve account. Criteria: The HUD regulatory agreement requires the Company to make 12 monthly deposits into the replacement reserve account. Effect: Replacement reserve account is underfunded and the Company is in violation of its Regulatory Agreement. Questioned Cost: $2,149. Cause: Oversight Recommendation: The Company should closely monitor the deposits into the replacement reserve. Auditor?s Comment: We recommend the Company closely monitor deposits into the replacement reserve to ensure compliance with the Regulatory Agreement. On March 20, 2023, the Company funded $2,149 payment to the replacement reserve. Finding 2022-001 Cleared.