FAC Explorer

Audit 9245

FY End
2023-06-30
Total Expended
$920,753
Findings
4
Programs
1
Organization: Woodland Housing Opportunities, Inc. (OH)
Year: 2023 Accepted: 2024-01-03
Auditor: Whited Seigneur Sams & Rahe LLP CPAS

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
7161 2023-001 - - A
7162 2023-001 - - A
583603 2023-001 - - A
583604 2023-001 - - A

Programs

ALN Program Spent Major Findings
14.181 Supportive Housing for Persons with Disabilities $81,853 Yes 1

Contacts

Name Title Type
GYLRVQN9LLT7 Kevan Mock Auditee
7404465500 Kathy Lambert Auditor
No contacts on file

Notes to SEFA

Title: Note 1. Basis of Presentation Accounting Policies: Note 1. Basis of Presentation The accompanying schedule of expenditures of federal awards includes the federal grant activity of Woodland Housing Opportunities, Inc., HUD Project No. 043-HH002, and is presented on the accrual basis of accounting. The information in this schedule is presented in accordance with Title 2 U.S. Code of Federal Regulations (CFR) Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance). Because the schedule presents only a selected portion of the operations of the Project, it is not intended to and does not present the financial position, changes in net assets, or cash flows of the organization. Note 2. Summary of Significant Accounting Policies Expenditures reported 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. Note 3. Indirect Cost Rate The Project has elected not to use the 10 percent de minimus indirect cost rate to recover indirect costs as allowed under the Uniform Guidance. De Minimis Rate Used: N Rate Explanation: Direct Expense The accompanying schedule of expenditures of federal awards includes the federal grant activity of Woodland Housing Opportunities, Inc., HUD Project No. 043-HH002, and is presented on the accrual basis of accounting. The information in this schedule is presented in accordance with Title 2 U.S. Code of Federal Regulations (CFR) Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance). Because the schedule presents only a selected portion of the operations of the Project, it is not intended to and does not present the financial position, changes in net assets, or cash flows of the organization.
Title: Note 2. Summary of Significant Accounting Policies Accounting Policies: Note 1. Basis of Presentation The accompanying schedule of expenditures of federal awards includes the federal grant activity of Woodland Housing Opportunities, Inc., HUD Project No. 043-HH002, and is presented on the accrual basis of accounting. The information in this schedule is presented in accordance with Title 2 U.S. Code of Federal Regulations (CFR) Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance). Because the schedule presents only a selected portion of the operations of the Project, it is not intended to and does not present the financial position, changes in net assets, or cash flows of the organization. Note 2. Summary of Significant Accounting Policies Expenditures reported 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. Note 3. Indirect Cost Rate The Project has elected not to use the 10 percent de minimus indirect cost rate to recover indirect costs as allowed under the Uniform Guidance. De Minimis Rate Used: N Rate Explanation: Direct Expense Expenditures reported 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.
Title: Note 3. Indirect Cost Rate Accounting Policies: Note 1. Basis of Presentation The accompanying schedule of expenditures of federal awards includes the federal grant activity of Woodland Housing Opportunities, Inc., HUD Project No. 043-HH002, and is presented on the accrual basis of accounting. The information in this schedule is presented in accordance with Title 2 U.S. Code of Federal Regulations (CFR) Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance). Because the schedule presents only a selected portion of the operations of the Project, it is not intended to and does not present the financial position, changes in net assets, or cash flows of the organization. Note 2. Summary of Significant Accounting Policies Expenditures reported 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. Note 3. Indirect Cost Rate The Project has elected not to use the 10 percent de minimus indirect cost rate to recover indirect costs as allowed under the Uniform Guidance. De Minimis Rate Used: N Rate Explanation: Direct Expense The Project has elected not to use the 10 percent de minimus indirect cost rate to recover indirect costs as allowed under the Uniform Guidance.

Finding Details

Finding 2023-001
Finding 2023-001 Noncompliance with HUD Occupancy Handbook Requirements Criteria: HUD Housing Handbook 4350.3, Occupancy Requirements of Subsidized Multifamily Housing Programs, outlines the items required to be attached to the lease, which includes a Form HUD-50059, Owner’s Certification of Compliance with HUD’s Tenant Eligibility and Rent Procedures and a move-in inspection report. Both documents are to be signed by both the tenant and owner. Condition: The Project has 16 units subsidized by HUD. Our sample size was 5 tenants, which included all four tenants who moved-in during the fiscal year and one tenant who lived at the Project the entire fiscal year. • Form HUD-50059 was not located in the tenant file for two of the four new tenants. • Form HUD-50059 was present in the file of yet another new tenant and signed by a Project representative, however it was not signed by the tenant • A move-in inspection form was signed by the tenant only. It should also include the signature of a Project representative Cause: Management oversight. Possible Effect: Failing to maintain a fully completed HUD-50059, especially the initial completion that determines low-income eligibility of the tenant for the length of residency, could result in a tenant to become ineligible for benefits and a return of funds previously received or a termination of the PRAC contract. Recommendations: Management should fully execute the HUD-50059 with the required tenant and owner signatures prior to electronic submission to HUD and retain the original copy in the tenant file. Likewise, the move-in inspection forms should be signed by both the tenant and Project representative to certify agreement of the condition of the unit at move-in. Management’s Response: Refer to the Corrective Action Plan.
Finding 2023-001
Finding 2023-001 Noncompliance with HUD Occupancy Handbook Requirements Criteria: HUD Housing Handbook 4350.3, Occupancy Requirements of Subsidized Multifamily Housing Programs, outlines the items required to be attached to the lease, which includes a Form HUD-50059, Owner’s Certification of Compliance with HUD’s Tenant Eligibility and Rent Procedures and a move-in inspection report. Both documents are to be signed by both the tenant and owner. Condition: The Project has 16 units subsidized by HUD. Our sample size was 5 tenants, which included all four tenants who moved-in during the fiscal year and one tenant who lived at the Project the entire fiscal year. • Form HUD-50059 was not located in the tenant file for two of the four new tenants. • Form HUD-50059 was present in the file of yet another new tenant and signed by a Project representative, however it was not signed by the tenant • A move-in inspection form was signed by the tenant only. It should also include the signature of a Project representative Cause: Management oversight. Possible Effect: Failing to maintain a fully completed HUD-50059, especially the initial completion that determines low-income eligibility of the tenant for the length of residency, could result in a tenant to become ineligible for benefits and a return of funds previously received or a termination of the PRAC contract. Recommendations: Management should fully execute the HUD-50059 with the required tenant and owner signatures prior to electronic submission to HUD and retain the original copy in the tenant file. Likewise, the move-in inspection forms should be signed by both the tenant and Project representative to certify agreement of the condition of the unit at move-in. Management’s Response: Refer to the Corrective Action Plan.
Finding 2023-001
Finding 2023-001 Noncompliance with HUD Occupancy Handbook Requirements Criteria: HUD Housing Handbook 4350.3, Occupancy Requirements of Subsidized Multifamily Housing Programs, outlines the items required to be attached to the lease, which includes a Form HUD-50059, Owner’s Certification of Compliance with HUD’s Tenant Eligibility and Rent Procedures and a move-in inspection report. Both documents are to be signed by both the tenant and owner. Condition: The Project has 16 units subsidized by HUD. Our sample size was 5 tenants, which included all four tenants who moved-in during the fiscal year and one tenant who lived at the Project the entire fiscal year. • Form HUD-50059 was not located in the tenant file for two of the four new tenants. • Form HUD-50059 was present in the file of yet another new tenant and signed by a Project representative, however it was not signed by the tenant • A move-in inspection form was signed by the tenant only. It should also include the signature of a Project representative Cause: Management oversight. Possible Effect: Failing to maintain a fully completed HUD-50059, especially the initial completion that determines low-income eligibility of the tenant for the length of residency, could result in a tenant to become ineligible for benefits and a return of funds previously received or a termination of the PRAC contract. Recommendations: Management should fully execute the HUD-50059 with the required tenant and owner signatures prior to electronic submission to HUD and retain the original copy in the tenant file. Likewise, the move-in inspection forms should be signed by both the tenant and Project representative to certify agreement of the condition of the unit at move-in. Management’s Response: Refer to the Corrective Action Plan.
Finding 2023-001
Finding 2023-001 Noncompliance with HUD Occupancy Handbook Requirements Criteria: HUD Housing Handbook 4350.3, Occupancy Requirements of Subsidized Multifamily Housing Programs, outlines the items required to be attached to the lease, which includes a Form HUD-50059, Owner’s Certification of Compliance with HUD’s Tenant Eligibility and Rent Procedures and a move-in inspection report. Both documents are to be signed by both the tenant and owner. Condition: The Project has 16 units subsidized by HUD. Our sample size was 5 tenants, which included all four tenants who moved-in during the fiscal year and one tenant who lived at the Project the entire fiscal year. • Form HUD-50059 was not located in the tenant file for two of the four new tenants. • Form HUD-50059 was present in the file of yet another new tenant and signed by a Project representative, however it was not signed by the tenant • A move-in inspection form was signed by the tenant only. It should also include the signature of a Project representative Cause: Management oversight. Possible Effect: Failing to maintain a fully completed HUD-50059, especially the initial completion that determines low-income eligibility of the tenant for the length of residency, could result in a tenant to become ineligible for benefits and a return of funds previously received or a termination of the PRAC contract. Recommendations: Management should fully execute the HUD-50059 with the required tenant and owner signatures prior to electronic submission to HUD and retain the original copy in the tenant file. Likewise, the move-in inspection forms should be signed by both the tenant and Project representative to certify agreement of the condition of the unit at move-in. Management’s Response: Refer to the Corrective Action Plan.