Audit 55597

FY End
2022-12-31
Total Expended
$1.61M
Findings
2
Programs
1
Organization: Willow Creek Housing, Inc. (MD)
Year: 2022 Accepted: 2023-06-29

Organization Exclusion Status:

Checking exclusion status...

Findings

ID Ref Severity Repeat Requirement
60096 2022-001 Significant Deficiency - L
636538 2022-001 Significant Deficiency - L

Programs

ALN Program Spent Major Findings
14.195 Section 8 Housing Assistance Payments Program $1.61M Yes 1

Contacts

Name Title Type
VY6LM1JTEV86 Bobby Custer Auditee
3019980413 Kraig Sanders Auditor
No contacts on file

Notes to SEFA

Accounting Policies: The schedule of expenditures of federal awards is prepared on the accrual basis of accounting. De Minimis Rate Used: N Rate Explanation: The auditee did not use the de minimis cost rate.

Finding Details

Assistance Listing (Federal award identification number and year): Section 8 Housing Assistance Payments Contract CFDA No. 14.195 (HAP Contract No. TN40-0020-01 and 2016) Auditor non-compliance code: Z-Other Finding resolution status: Resolved Universe population size: The universe population size is not applicable to the finding. Sample size information: The sample size is not applicable to the finding. Statistically valid sample: N/A Name of Federal agency: U.S. Department of Housing and Urban Development Pass-through entity: N/A Questioned costs: N/A Statement of condition 2022-001: The Corporation did not furnish HUD with a complete annual financial report by March 31, 2023, as required by HUD. Criteria: Pursuant to the HAP Contract, within ninety (90) days, or such period established in writing by HUD, following the end of each fiscal year, the Corporation shall furnish HUD with a complete annual financial report based upon an examination of the books and records of the Corporation prepared in accordance with GAAP, audited in accordance with Generally Accepted Auditing Standards and Government Auditing Standards any any additional requirements of HUD unless the report is waived in writing by HUD. Effect: The Corporation was not in compliance with the HAP Contract. Cause: Due to administrative delays related to the change in Board of Directors interest and refinance of the mortgage, the Corporation did not submit the audited financial statements to HUD by March 31, 2023. Recommendation: The annual financial statements should be issued in a timely manner pursuant to the time frame set forth by HUD. Management's response: Management concurs with the finding and agrees with the recommendation. The audit report as of and for the year ended December 31, 2022 has been submitted to HUD. No further action is required.
Assistance Listing (Federal award identification number and year): Section 8 Housing Assistance Payments Contract CFDA No. 14.195 (HAP Contract No. TN40-0020-01 and 2016) Auditor non-compliance code: Z-Other Finding resolution status: Resolved Universe population size: The universe population size is not applicable to the finding. Sample size information: The sample size is not applicable to the finding. Statistically valid sample: N/A Name of Federal agency: U.S. Department of Housing and Urban Development Pass-through entity: N/A Questioned costs: N/A Statement of condition 2022-001: The Corporation did not furnish HUD with a complete annual financial report by March 31, 2023, as required by HUD. Criteria: Pursuant to the HAP Contract, within ninety (90) days, or such period established in writing by HUD, following the end of each fiscal year, the Corporation shall furnish HUD with a complete annual financial report based upon an examination of the books and records of the Corporation prepared in accordance with GAAP, audited in accordance with Generally Accepted Auditing Standards and Government Auditing Standards any any additional requirements of HUD unless the report is waived in writing by HUD. Effect: The Corporation was not in compliance with the HAP Contract. Cause: Due to administrative delays related to the change in Board of Directors interest and refinance of the mortgage, the Corporation did not submit the audited financial statements to HUD by March 31, 2023. Recommendation: The annual financial statements should be issued in a timely manner pursuant to the time frame set forth by HUD. Management's response: Management concurs with the finding and agrees with the recommendation. The audit report as of and for the year ended December 31, 2022 has been submitted to HUD. No further action is required.