FAC Explorer

Audit 78098

FY End
2022-04-30
Total Expended
$1.19M
Findings
6
Programs
2
Organization: Nutfield Heights, INC (NH)
Year: 2022 Accepted: 2022-10-20
Auditor: D'ambra CPA

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
88033 2022-003 - - C
88034 2022-001 - - N
88035 2022-002 - - B
664475 2022-003 - - C
664476 2022-001 - - N
664477 2022-002 - - B

Programs

ALN Program Spent Major Findings
14.195 Section 8 Housing Assistance Payments Program $675,720 - 1
14.155 Mortgage Insurance for the Purchase Or Refinancing of Existing Multifamily Housing Projects $516,111 Yes 2

Contacts

Name Title Type
LEPAG9PMM7L5 Charles Varney Auditee
6035482970 Craig D'ambra Auditor
No contacts on file

Notes to SEFA

Title: Loan/loan guarantee outstanding balances Accounting Policies: 1. The schedule of expenditures of federal awards includes the federal award activity of the Corporation. Theinformation in this schedule is presented in accordance with the requirements of Title 2 U.S. Code ofFederal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and AuditRequirements for Federal Awards (Uniform Guidance). Because the Schedule presents only a selectedportion of the operations of the Corporation, it is not intended to and does not present the financial position,changes in net assets, or cash flows of the Corporation.2. Expenditures reported on the Schedule are reported on the accrual basis of accounting. Such expendituresare recognized following the cost principles contained in the Uniform Guidance, wherein certain types ofexpenditures are not allowable or are limited as to reimbursement. The Corporation has elected not to usethe 10 percent de-minimis indirect cost rate allowed under the Uniform Guidance.3. The Corporation received loans directly or indirectly from the U.S. Department of Housing and UrbanDevelopment which are included above. If there were no current year advances on the loan, the loanbalance above reflects the beginning of the year balance. If there were advances on the loan, the loanbalance above reflects the highest balance during the year.4. Certain grants, while fully expended, contain continuing compliance requirements and are thus included inthe Schedule.13 De Minimis Rate Used: N Rate Explanation: The auditee did not use the de minimis cost rate. MORTGAGE INSURANCE FOR THE PURCHASE OR REFINANCING OF EXISTING MULTIFAMILY HOUSING PROJECTS (14.155) - Balances outstanding at the end of the audit period were 400097.

Finding Details

Finding 2022-003
Finding 2022-003: Federal program - Section 8 Housing Assistance Payments: Criteria - the property?s security deposit cash should be sufficient to cover the tenant?s security deposit liability amount; Condition - at year end, the security deposit cash account is deficient by $1,730; Cause - management oversight; Recommendation - management should transfer a sufficient amount from the operating account to the security deposit cash account. Response: Management will transfer a sufficient amount from the operating account to the security deposit account.
Finding 2022-001
Finding 2022-001: Federal program - Section 223(f) Insured Mortgage: Criteria - HUD requires a specified monthly amount be deposited to the replacement reserve account; Condition - the required amount was deficient for twelve out of twelve months during the year for a total of $2,760 deficient; Cause - the mortgage company did not increase the required amount due in a timely manner; Recommendation - management should contact the mortgage company, request the shortfall be billed, increase the required monthly amount required and assure any future increase are made timely. Response: Management will contact the mortgage company, remit the shortfall amount, pay the required monthly amount due and assure any future increases are made.
Finding 2022-002
Finding 2022-002: Federal program - Section 223(f) Insured Mortgage: Criteria - only eligible costs of the property should be paid by the property; Condition - the property paid another property?s invoice totaling $1,791; Cause - management oversight; Recommendation - management should reimburse the property for the payment made in error. Response: Management has reimbursed the property for the payment made in error.
Finding 2022-003
Finding 2022-003: Federal program - Section 8 Housing Assistance Payments: Criteria - the property?s security deposit cash should be sufficient to cover the tenant?s security deposit liability amount; Condition - at year end, the security deposit cash account is deficient by $1,730; Cause - management oversight; Recommendation - management should transfer a sufficient amount from the operating account to the security deposit cash account. Response: Management will transfer a sufficient amount from the operating account to the security deposit account.
Finding 2022-001
Finding 2022-001: Federal program - Section 223(f) Insured Mortgage: Criteria - HUD requires a specified monthly amount be deposited to the replacement reserve account; Condition - the required amount was deficient for twelve out of twelve months during the year for a total of $2,760 deficient; Cause - the mortgage company did not increase the required amount due in a timely manner; Recommendation - management should contact the mortgage company, request the shortfall be billed, increase the required monthly amount required and assure any future increase are made timely. Response: Management will contact the mortgage company, remit the shortfall amount, pay the required monthly amount due and assure any future increases are made.
Finding 2022-002
Finding 2022-002: Federal program - Section 223(f) Insured Mortgage: Criteria - only eligible costs of the property should be paid by the property; Condition - the property paid another property?s invoice totaling $1,791; Cause - management oversight; Recommendation - management should reimburse the property for the payment made in error. Response: Management has reimbursed the property for the payment made in error.