FAC Explorer

Audit 7097

FY End
2023-06-30
Total Expended
$134.51M
Findings
8
Programs
9
Organization: Iowa Finance Authority (IA)
Year: 2023 Accepted: 2023-12-18
Auditor: Eide Bailly LLP

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
4917 2023-002 Significant Deficiency Yes L
4918 2023-002 Significant Deficiency Yes L
4919 2023-002 Significant Deficiency Yes L
4920 2023-002 Significant Deficiency Yes L
581359 2023-002 Significant Deficiency Yes L
581360 2023-002 Significant Deficiency Yes L
581361 2023-002 Significant Deficiency Yes L
581362 2023-002 Significant Deficiency Yes L

Programs

ALN Program Spent Major Findings
14.195 Section 8 Housing Assistance Payments Program $71.53M Yes 0
21.026 Homeowner Assistance Fund $15.80M Yes 0
14.239 Home Investment Partnerships Program $5.93M - 0
21.023 Emergency Rental Assistance Program $5.06M Yes 1
14.231 Emergency Solutions Grant Program $4.27M - 0
14.275 Housing Trust Fund $1.42M - 0
21.027 Coronavirus State and Local Fiscal Recovery Funds $600,000 Yes 1
21.U19 Housing Stability Counseling Program $86,380 - 0
14.241 Housing Opportunities for Persons with Aids $524 - 0

Contacts

Name Title Type
MNSRLUJXL4W3 Jennifer Pulford Auditee
5154520408 Tara Engquist Auditor
No contacts on file

Notes to SEFA

Title: Note 1 - Basis of Presentation Accounting Policies: Note 2 - Summary of Significant Accounting Policies Expenditures reported in the schedule are reported on the accrual basis of accounting, except for subrecipient expenditures, which were accounted for on the cash basis. 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 The Iowa Finance Authority has not elected to use the 10% de minimis cost rate. The accompanying schedule of expenditures of federal awards (the schedule) includes the federal award activity of the Iowa Finance Authority (the Authority) under programs of the federal government for the year ended June 30, 2023. The information 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). The schedule excludes the Clean Water and Drinking Water State Revolving Fund Clusters as they are deemed programs of the Iowa Department of Natural Resources and are included on the schedule of expenditures of federal awards for the State of Iowa. Because the schedule presents only a selected portion of the operations of the Authority, it is not intended to and does not present the financial position, changes in net position, or cash flows of the Authority.

Finding Details

Finding 2023-002
U.S. Department of Treasury Assistance Listing # 21.023, 2021 Award Year, Award Number: Not Provided COVID-19 Emergency Rental Assistance Program (ERA) U.S. Department of Treasury Assistance Listing #21.027, 2022 Award Year, Award Number: Not Provided COVID-19 Coronavirus State and Local Fiscal Recovery Funds (CSLFRF) Reporting Significant Deficiency in Internal Control over Compliance and Non-Compliance Criteria: Quarterly and annual reports are required by Department of Treasury for ERA. Quarterly reports are required by the State of Iowa for CSLFRF. Condition: There was no documented control in place to review reports prior to submission for ERA and CSLFRF; and, for one quarterly ERA report tested, key line items were blank in the submitted report that was provided to be audited. Cause: For ERA, review of the submission was not documented and certain information that was previously submitted to Department of Treasury was not available to be tested because certain key line items were blank in the copy of the submitted report provided to the auditors. Despite multiple attempts in September and October 2023 by the Authority to obtain a copy of the submitted report from the Department of Treasury, a copy has not been made available to the Authority by Department of Treasury. For CSLFRF, review controls have not been implemented. Effect: Inaccurate information could have been reported or lines with required information could have been missed. Questioned Costs: None. Context/Sampling: For ERA, 3 of the 6 quarterly reports required for fiscal year 2023 were tested (2 quarters where ERA 1 was active during fiscal year 2023, and 4 quarters for ERA 2). For CSLFRF, 2 of the 4 required quarterly reports were tested. Repeat Finding from Prior Year(s): Yes Recommendation: We recommend a documented review process be implemented prior to report submission to ensure all lines are properly entered and agree to the applicable backup. We also recommend that a copy of the final submission is saved on the date of submission and review of that copy is completed to ensure that the information entered is available to review after submission is completed. Views of Responsible Officials: Management agrees with the finding.
Finding 2023-002
U.S. Department of Treasury Assistance Listing # 21.023, 2021 Award Year, Award Number: Not Provided COVID-19 Emergency Rental Assistance Program (ERA) U.S. Department of Treasury Assistance Listing #21.027, 2022 Award Year, Award Number: Not Provided COVID-19 Coronavirus State and Local Fiscal Recovery Funds (CSLFRF) Reporting Significant Deficiency in Internal Control over Compliance and Non-Compliance Criteria: Quarterly and annual reports are required by Department of Treasury for ERA. Quarterly reports are required by the State of Iowa for CSLFRF. Condition: There was no documented control in place to review reports prior to submission for ERA and CSLFRF; and, for one quarterly ERA report tested, key line items were blank in the submitted report that was provided to be audited. Cause: For ERA, review of the submission was not documented and certain information that was previously submitted to Department of Treasury was not available to be tested because certain key line items were blank in the copy of the submitted report provided to the auditors. Despite multiple attempts in September and October 2023 by the Authority to obtain a copy of the submitted report from the Department of Treasury, a copy has not been made available to the Authority by Department of Treasury. For CSLFRF, review controls have not been implemented. Effect: Inaccurate information could have been reported or lines with required information could have been missed. Questioned Costs: None. Context/Sampling: For ERA, 3 of the 6 quarterly reports required for fiscal year 2023 were tested (2 quarters where ERA 1 was active during fiscal year 2023, and 4 quarters for ERA 2). For CSLFRF, 2 of the 4 required quarterly reports were tested. Repeat Finding from Prior Year(s): Yes Recommendation: We recommend a documented review process be implemented prior to report submission to ensure all lines are properly entered and agree to the applicable backup. We also recommend that a copy of the final submission is saved on the date of submission and review of that copy is completed to ensure that the information entered is available to review after submission is completed. Views of Responsible Officials: Management agrees with the finding.
Finding 2023-002
U.S. Department of Treasury Assistance Listing # 21.023, 2021 Award Year, Award Number: Not Provided COVID-19 Emergency Rental Assistance Program (ERA) U.S. Department of Treasury Assistance Listing #21.027, 2022 Award Year, Award Number: Not Provided COVID-19 Coronavirus State and Local Fiscal Recovery Funds (CSLFRF) Reporting Significant Deficiency in Internal Control over Compliance and Non-Compliance Criteria: Quarterly and annual reports are required by Department of Treasury for ERA. Quarterly reports are required by the State of Iowa for CSLFRF. Condition: There was no documented control in place to review reports prior to submission for ERA and CSLFRF; and, for one quarterly ERA report tested, key line items were blank in the submitted report that was provided to be audited. Cause: For ERA, review of the submission was not documented and certain information that was previously submitted to Department of Treasury was not available to be tested because certain key line items were blank in the copy of the submitted report provided to the auditors. Despite multiple attempts in September and October 2023 by the Authority to obtain a copy of the submitted report from the Department of Treasury, a copy has not been made available to the Authority by Department of Treasury. For CSLFRF, review controls have not been implemented. Effect: Inaccurate information could have been reported or lines with required information could have been missed. Questioned Costs: None. Context/Sampling: For ERA, 3 of the 6 quarterly reports required for fiscal year 2023 were tested (2 quarters where ERA 1 was active during fiscal year 2023, and 4 quarters for ERA 2). For CSLFRF, 2 of the 4 required quarterly reports were tested. Repeat Finding from Prior Year(s): Yes Recommendation: We recommend a documented review process be implemented prior to report submission to ensure all lines are properly entered and agree to the applicable backup. We also recommend that a copy of the final submission is saved on the date of submission and review of that copy is completed to ensure that the information entered is available to review after submission is completed. Views of Responsible Officials: Management agrees with the finding.
Finding 2023-002
U.S. Department of Treasury Assistance Listing # 21.023, 2021 Award Year, Award Number: Not Provided COVID-19 Emergency Rental Assistance Program (ERA) U.S. Department of Treasury Assistance Listing #21.027, 2022 Award Year, Award Number: Not Provided COVID-19 Coronavirus State and Local Fiscal Recovery Funds (CSLFRF) Reporting Significant Deficiency in Internal Control over Compliance and Non-Compliance Criteria: Quarterly and annual reports are required by Department of Treasury for ERA. Quarterly reports are required by the State of Iowa for CSLFRF. Condition: There was no documented control in place to review reports prior to submission for ERA and CSLFRF; and, for one quarterly ERA report tested, key line items were blank in the submitted report that was provided to be audited. Cause: For ERA, review of the submission was not documented and certain information that was previously submitted to Department of Treasury was not available to be tested because certain key line items were blank in the copy of the submitted report provided to the auditors. Despite multiple attempts in September and October 2023 by the Authority to obtain a copy of the submitted report from the Department of Treasury, a copy has not been made available to the Authority by Department of Treasury. For CSLFRF, review controls have not been implemented. Effect: Inaccurate information could have been reported or lines with required information could have been missed. Questioned Costs: None. Context/Sampling: For ERA, 3 of the 6 quarterly reports required for fiscal year 2023 were tested (2 quarters where ERA 1 was active during fiscal year 2023, and 4 quarters for ERA 2). For CSLFRF, 2 of the 4 required quarterly reports were tested. Repeat Finding from Prior Year(s): Yes Recommendation: We recommend a documented review process be implemented prior to report submission to ensure all lines are properly entered and agree to the applicable backup. We also recommend that a copy of the final submission is saved on the date of submission and review of that copy is completed to ensure that the information entered is available to review after submission is completed. Views of Responsible Officials: Management agrees with the finding.
Finding 2023-002
U.S. Department of Treasury Assistance Listing # 21.023, 2021 Award Year, Award Number: Not Provided COVID-19 Emergency Rental Assistance Program (ERA) U.S. Department of Treasury Assistance Listing #21.027, 2022 Award Year, Award Number: Not Provided COVID-19 Coronavirus State and Local Fiscal Recovery Funds (CSLFRF) Reporting Significant Deficiency in Internal Control over Compliance and Non-Compliance Criteria: Quarterly and annual reports are required by Department of Treasury for ERA. Quarterly reports are required by the State of Iowa for CSLFRF. Condition: There was no documented control in place to review reports prior to submission for ERA and CSLFRF; and, for one quarterly ERA report tested, key line items were blank in the submitted report that was provided to be audited. Cause: For ERA, review of the submission was not documented and certain information that was previously submitted to Department of Treasury was not available to be tested because certain key line items were blank in the copy of the submitted report provided to the auditors. Despite multiple attempts in September and October 2023 by the Authority to obtain a copy of the submitted report from the Department of Treasury, a copy has not been made available to the Authority by Department of Treasury. For CSLFRF, review controls have not been implemented. Effect: Inaccurate information could have been reported or lines with required information could have been missed. Questioned Costs: None. Context/Sampling: For ERA, 3 of the 6 quarterly reports required for fiscal year 2023 were tested (2 quarters where ERA 1 was active during fiscal year 2023, and 4 quarters for ERA 2). For CSLFRF, 2 of the 4 required quarterly reports were tested. Repeat Finding from Prior Year(s): Yes Recommendation: We recommend a documented review process be implemented prior to report submission to ensure all lines are properly entered and agree to the applicable backup. We also recommend that a copy of the final submission is saved on the date of submission and review of that copy is completed to ensure that the information entered is available to review after submission is completed. Views of Responsible Officials: Management agrees with the finding.
Finding 2023-002
U.S. Department of Treasury Assistance Listing # 21.023, 2021 Award Year, Award Number: Not Provided COVID-19 Emergency Rental Assistance Program (ERA) U.S. Department of Treasury Assistance Listing #21.027, 2022 Award Year, Award Number: Not Provided COVID-19 Coronavirus State and Local Fiscal Recovery Funds (CSLFRF) Reporting Significant Deficiency in Internal Control over Compliance and Non-Compliance Criteria: Quarterly and annual reports are required by Department of Treasury for ERA. Quarterly reports are required by the State of Iowa for CSLFRF. Condition: There was no documented control in place to review reports prior to submission for ERA and CSLFRF; and, for one quarterly ERA report tested, key line items were blank in the submitted report that was provided to be audited. Cause: For ERA, review of the submission was not documented and certain information that was previously submitted to Department of Treasury was not available to be tested because certain key line items were blank in the copy of the submitted report provided to the auditors. Despite multiple attempts in September and October 2023 by the Authority to obtain a copy of the submitted report from the Department of Treasury, a copy has not been made available to the Authority by Department of Treasury. For CSLFRF, review controls have not been implemented. Effect: Inaccurate information could have been reported or lines with required information could have been missed. Questioned Costs: None. Context/Sampling: For ERA, 3 of the 6 quarterly reports required for fiscal year 2023 were tested (2 quarters where ERA 1 was active during fiscal year 2023, and 4 quarters for ERA 2). For CSLFRF, 2 of the 4 required quarterly reports were tested. Repeat Finding from Prior Year(s): Yes Recommendation: We recommend a documented review process be implemented prior to report submission to ensure all lines are properly entered and agree to the applicable backup. We also recommend that a copy of the final submission is saved on the date of submission and review of that copy is completed to ensure that the information entered is available to review after submission is completed. Views of Responsible Officials: Management agrees with the finding.
Finding 2023-002
U.S. Department of Treasury Assistance Listing # 21.023, 2021 Award Year, Award Number: Not Provided COVID-19 Emergency Rental Assistance Program (ERA) U.S. Department of Treasury Assistance Listing #21.027, 2022 Award Year, Award Number: Not Provided COVID-19 Coronavirus State and Local Fiscal Recovery Funds (CSLFRF) Reporting Significant Deficiency in Internal Control over Compliance and Non-Compliance Criteria: Quarterly and annual reports are required by Department of Treasury for ERA. Quarterly reports are required by the State of Iowa for CSLFRF. Condition: There was no documented control in place to review reports prior to submission for ERA and CSLFRF; and, for one quarterly ERA report tested, key line items were blank in the submitted report that was provided to be audited. Cause: For ERA, review of the submission was not documented and certain information that was previously submitted to Department of Treasury was not available to be tested because certain key line items were blank in the copy of the submitted report provided to the auditors. Despite multiple attempts in September and October 2023 by the Authority to obtain a copy of the submitted report from the Department of Treasury, a copy has not been made available to the Authority by Department of Treasury. For CSLFRF, review controls have not been implemented. Effect: Inaccurate information could have been reported or lines with required information could have been missed. Questioned Costs: None. Context/Sampling: For ERA, 3 of the 6 quarterly reports required for fiscal year 2023 were tested (2 quarters where ERA 1 was active during fiscal year 2023, and 4 quarters for ERA 2). For CSLFRF, 2 of the 4 required quarterly reports were tested. Repeat Finding from Prior Year(s): Yes Recommendation: We recommend a documented review process be implemented prior to report submission to ensure all lines are properly entered and agree to the applicable backup. We also recommend that a copy of the final submission is saved on the date of submission and review of that copy is completed to ensure that the information entered is available to review after submission is completed. Views of Responsible Officials: Management agrees with the finding.
Finding 2023-002
U.S. Department of Treasury Assistance Listing # 21.023, 2021 Award Year, Award Number: Not Provided COVID-19 Emergency Rental Assistance Program (ERA) U.S. Department of Treasury Assistance Listing #21.027, 2022 Award Year, Award Number: Not Provided COVID-19 Coronavirus State and Local Fiscal Recovery Funds (CSLFRF) Reporting Significant Deficiency in Internal Control over Compliance and Non-Compliance Criteria: Quarterly and annual reports are required by Department of Treasury for ERA. Quarterly reports are required by the State of Iowa for CSLFRF. Condition: There was no documented control in place to review reports prior to submission for ERA and CSLFRF; and, for one quarterly ERA report tested, key line items were blank in the submitted report that was provided to be audited. Cause: For ERA, review of the submission was not documented and certain information that was previously submitted to Department of Treasury was not available to be tested because certain key line items were blank in the copy of the submitted report provided to the auditors. Despite multiple attempts in September and October 2023 by the Authority to obtain a copy of the submitted report from the Department of Treasury, a copy has not been made available to the Authority by Department of Treasury. For CSLFRF, review controls have not been implemented. Effect: Inaccurate information could have been reported or lines with required information could have been missed. Questioned Costs: None. Context/Sampling: For ERA, 3 of the 6 quarterly reports required for fiscal year 2023 were tested (2 quarters where ERA 1 was active during fiscal year 2023, and 4 quarters for ERA 2). For CSLFRF, 2 of the 4 required quarterly reports were tested. Repeat Finding from Prior Year(s): Yes Recommendation: We recommend a documented review process be implemented prior to report submission to ensure all lines are properly entered and agree to the applicable backup. We also recommend that a copy of the final submission is saved on the date of submission and review of that copy is completed to ensure that the information entered is available to review after submission is completed. Views of Responsible Officials: Management agrees with the finding.