FAC Explorer

Audit 7824

FY End
2023-05-31
Total Expended
$3.99M
Findings
2
Programs
2
Organization: Deliverance Manor Housing Corporation (IL)
Year: 2023 Accepted: 2023-12-20
Auditor: Wieland Wallace INC

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
5741 2023-001 Material Weakness - C
582183 2023-001 Material Weakness - C

Programs

ALN Program Spent Major Findings
14.138 Mortgage Insurance_rental Housing for the Elderly $3.25M Yes 1
14.195 Section 8 Housing Assistance Payments Program $742,789 - 0

Contacts

Name Title Type
TZA6MA7DKTC6 Bruce Flowers Auditee
7086472826 Paul H. Wieland Auditor
No contacts on file

Notes to SEFA

Title: OTHER FEDERAL ASSISTANCE Accounting Policies: BASIS OF PRESENTATION The accompanying schedule of expenditures of federal awards includes the federal expenditures activity of Deliverance Manor Housing Corporation FHA Project No. 071-EH500, and is presented on the accrual basis of accounting. The information in this schedule is presented in accordance with the requirements of Title 2 U.S. Code of Federal Regulations (CFR) Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards. Therefore, some amounts presented in this schedule may differ from amounts presented in, or used in the preparation of, the basic financial statements. De Minimis Rate Used: Y Rate Explanation: The Organization has elected to use the 10% de minimis indirect cost rate as allowed under the Uniform Guidance. During the year ended May 31, 2023, the Organization did not receive any other federal assistance such as non-cash assistance, insurance, loans or loan guarantees.

Finding Details

Finding 2023-001
Finding Reference Number: 2023-01 Federal Programs: Section 202 Direct Loan (CFDA 14.138) Type of Finding: Federal Award Finding Finding Resolution Status: Unresolved Criteria: Proper documentation should be maintained for all transactions. Statement of Condition: Credit card payments totaling $31,065 are not substantiated with proper receipts and credit card balances were not reconciled. Cause: Property management was paying new balances on credit card statements which included past due amounts. Accounting was not receiving details of payments and therefore potentially coding expenses to incorrect accounts. Effect or Potential Effect: Noncompliance and potential payment of duplicate or unauthorized expenses. Auditor Noncompliance Code: Cash management Questioned Costs: $31,065 Recommendation: Management should reconcile accounts and obtain source documents and receipts. Completion Date: 10/31/2023 Reporting Views of Responsible Officials: Management agrees with the finding and will reevaluate internal controls to assure proper documentation and reporting in the future.
Finding 2023-001
Finding Reference Number: 2023-01 Federal Programs: Section 202 Direct Loan (CFDA 14.138) Type of Finding: Federal Award Finding Finding Resolution Status: Unresolved Criteria: Proper documentation should be maintained for all transactions. Statement of Condition: Credit card payments totaling $31,065 are not substantiated with proper receipts and credit card balances were not reconciled. Cause: Property management was paying new balances on credit card statements which included past due amounts. Accounting was not receiving details of payments and therefore potentially coding expenses to incorrect accounts. Effect or Potential Effect: Noncompliance and potential payment of duplicate or unauthorized expenses. Auditor Noncompliance Code: Cash management Questioned Costs: $31,065 Recommendation: Management should reconcile accounts and obtain source documents and receipts. Completion Date: 10/31/2023 Reporting Views of Responsible Officials: Management agrees with the finding and will reevaluate internal controls to assure proper documentation and reporting in the future.