Corrective Action Plans

Finding 529339 (2023-102)

Material Weakness 2023

AZ

HUD Housing Programs

Note: Finding noted by other auditors as finding 2023-001. Condition and Context: The U.S. Department of Housing and Urban Development uses the Voucher Management System (VMS) to collect Public Housing Agency’s (PHA) data that enables HUD to fund, obligate, and disburse funding. For the fiscal yea...

Note: Finding noted by other auditors as finding 2023-001. Condition and Context: The U.S. Department of Housing and Urban Development uses the Voucher Management System (VMS) to collect Public Housing Agency’s (PHA) data that enables HUD to fund, obligate, and disburse funding. For the fiscal year, the Housing Authority did not submit the correct restricted net position amounts. Recommendation: The other auditors recommended management hire and retain competent individuals to handle the monthly VMS submission. Contact Name: Rolanda Cephas, Housing Director Corrective Action Planned: The Housing Authority has recruited a Finance Manager who has demonstrated that she has strong financial skills and has sufficient knowledge and understanding of the factors that determine the Housing Authority's restricted net positions to accurately report in the Voucher Management System. Anticipated Completion Date: June 30, 2025

View Audit 347356

Finding 528806 (2023-001)

None 2023

Saraland Manor, Inc.

MS

HUD Housing Programs Reporting

We agree with Finding 2022-001 and the recommendations described above. We have engaged a CPA firm to perform a single audit for the periods December 31, 2021-2023.

View Audit 346856

Finding 528805 (2023-003)

None 2023

Saraland Manor, Inc.

MS

Cash Management HUD Housing Programs

We agree that surplus cash deposit was not made in FY2020, and the recommendations described above. Management will deposit any surplus cash required into the residual receipts in future periods.

View Audit 346856

Finding 528804 (2023-002)

None 2023

Saraland Manor, Inc.

MS

Cash Management HUD Housing Programs

We agree that surplus cash deposit was not made in FY2019, and the recommendations described above. Management will deposit any surplus cash required into the residual receipts in future periods.

View Audit 346856

Finding 528675 (2023-009)

Material Weakness 2023

Trinity Acres Housing Corporation

IL

HUD Housing Programs

The Management Agent follows the Management Agent Certification for fees only for 6.09% of the residential income collected and reimburses the Project $16.32 for collecting miscellaneous income.

View Audit 346684

Finding 528674 (2023-008)

Material Weakness 2023

Trinity Acres Housing Corporation

IL

HUD Housing Programs

The Corporation will reimburse the Project for the Management Fee Overpayment and Payroll Cost for the remaining balance of $12,526.95.

View Audit 346684

Finding 528673 (2023-007)

Material Weakness 2023

Trinity Acres Housing Corporation

IL

Procurement, Suspension & Debarment HUD Housing Programs Matching / Level of Effort / Earmarking

The Corporation will register and apply for PPP Forgiveness via the SBA PPP Direct Forgiveness Portal or contact SBA Customer Service at 877-552-2692.

View Audit 346684

Finding 528257 (2023-002)

Material Weakness 2023

Casita Park Housing Development Fund Corporation

NY

Questioned Costs HUD Housing Programs Special Tests & Provisions

Finding 2023-002 a. Condition As of September 30, 2023, management has not fully funded the tenant security deposits cash account. The tenant security deposits cash account was underfunded by $10,665. b. Action(s) Taken or Planned on the Finding Management will transfer $10,665 from the operating ac...

Finding 2023-002 a. Condition As of September 30, 2023, management has not fully funded the tenant security deposits cash account. The tenant security deposits cash account was underfunded by $10,665. b. Action(s) Taken or Planned on the Finding Management will transfer $10,665 from the operating account in order to fully fund the tenant security deposits account.

View Audit 346289 Questioned Costs: $1

Finding 528256 (2023-001)

Material Weakness 2023

Casita Park Housing Development Fund Corporation

NY

Questioned Costs Allowable Costs / Cost Principles HUD Housing Programs

Finding 2023-001 a. Condition During the year ended September 30, 2023, the project paid insurance expenses in the amount of $4,247 on behalf of an affiliate from project cash without HUD approval. The amount due to the project as of September 30, 2023 is $53,397. b. Action(s) Taken or Planned on th...

Finding 2023-001 a. Condition During the year ended September 30, 2023, the project paid insurance expenses in the amount of $4,247 on behalf of an affiliate from project cash without HUD approval. The amount due to the project as of September 30, 2023 is $53,397. b. Action(s) Taken or Planned on the Finding Because the PRAC contracts expire in April there is a delay in receiving subsidy monies until the renewals are approved. Insurance costs for this entity continue to increase exponentially, creating a financial burden on the project. To ensure the policies don’t cancel we will have the entity with the most money pay the bill and have the other PRAC projects reimburse. In 2023/2024 the PRACs are now on a five-year renewal so there should not be a delay in receiving subsidy monies. Thus, going forward, we do not anticipate this being an issue as long as the subsidy monies aren’t delayed and the rent increases are substantial enough to cover the large increases in insurance renewal premiums. The Corporation agrees with the finding and the auditor's recommendations have been adopted. As of the report date and subsequent to the statement of financial position date, the $53,397 was repaid back to the Corporation.

View Audit 346289 Questioned Costs: $1

Finding 524581 (2023-001)

Significant Deficiency 2023

City of Clarksville

TN

Subrecipient Monitoring Reporting Internal Control / Segregation of Duties

Management’s Corrective Action Plan: Due to changes in departmental management and responsibilities submission was not timely. We have now implemented policies and procedures to ensure grant activity is reported in accordance with the grant requirements. This matter was resolved subsequent to June 3...

Management’s Corrective Action Plan: Due to changes in departmental management and responsibilities submission was not timely. We have now implemented policies and procedures to ensure grant activity is reported in accordance with the grant requirements. This matter was resolved subsequent to June 30, 2023.

View Audit 344028

Finding 524463 (2023-002)

Significant Deficiency 2023

Collier Housing Alternatives, Inc.

FL

HUD Housing Programs Reporting

The management's company's new CFO has brought the filings up-to-date as of November 2024 and reporting sumbissions will now be filed in a timely manner.

View Audit 343799

Finding 524240 (2023-002)

Material Weakness 2023

Next Move Homeless Services

CA

Questioned Costs Special Tests & Provisions HUD Housing Programs

Program: Continuum of Care Federal Financial Assistance Listing No.:14.267 Federal Agency: U.S. Department of Housing and Urban Development Pass-through: Sacramento Steps Forward Award Year: 2023 Compliance Requirement: Special Tests and Provisions – Reasonable Rental Rates Grant Award Number: ...

Program: Continuum of Care Federal Financial Assistance Listing No.:14.267 Federal Agency: U.S. Department of Housing and Urban Development Pass-through: Sacramento Steps Forward Award Year: 2023 Compliance Requirement: Special Tests and Provisions – Reasonable Rental Rates Grant Award Number: CA0955L9T032108, CA0955L9T032209, CA0143L9T032114, CA0143L9T032215, CA1303L9T032107, CA1303L9T032208 Finding Summary: • As a result of our procedures performed, we noted for 8 out of 17 rental participants tested, the organization could not provide documentation to demonstrate the reasonableness of contract rents being paid for individual housing units in relation to rents being charged for comparable units. This should have included an analysis of rents in the immediate area of the participants housing. • For 3 out of 41 rental payments tested, we noted the rent paid exceed the HUD-determined fair market rents for the fiscal year. Repeat Finding from Prior Years: Yes, Finding 2022-002 Management’s Response: We concur. Views of Responsible Officials and Corrective Action: • Develop policies and procedures for staff working on grants to ensure that all contract rents being paid for individual housing units are reasonable in relation to rents being charged for comparable units. Additionally, the policies and procedures will ensure that grant funds being used to pay rent will not exceed HUD-determined fair market rents. • Train grant staff on new policies and procedures. Name of Responsible Person: Bryan Wagner, CFO Projected Implementation Date: December 31, 2024

View Audit 343437 Questioned Costs: $1

Finding 523665 (2023-001)

Material Weakness 2023

Young Womens Christian Association of Greater Lafayette

IN

HUD Housing Programs Internal Control / Segregation of Duties

2023-001: EMPLOYMENT VERIFICATION--VOCA Issue: Employment Verification form for one employee from a sample of ten was missing from the employee’s files. Recommendation: Internal controls and procedures should be established, and documentation maintained to support all employee verification for emp...

2023-001: EMPLOYMENT VERIFICATION--VOCA Issue: Employment Verification form for one employee from a sample of ten was missing from the employee’s files. Recommendation: Internal controls and procedures should be established, and documentation maintained to support all employee verification for employment. Corrective Actions: YWCA acknowledges discrepancies in data metrics reported. • Implement a standardized checklist for employment documentation. • Educate HR staff on audit best practices, emphasizing complete and accurate employee files. • Schedule quarterly reviews to ensure compliance with documentation requirements.

View Audit 343088

Finding 523601 (2023-001)

None 2023

Iha, INC

CT

HUD Housing Programs Procurement, Suspension & Debarment Special Tests & Provisions

U.S. Department of Housing and Urban Development AUDIT FINDINGS: Finding Reference Number: 2023-001 Description of Finding: Homes with Hope, Inc. and Affiliate provides supportive housing via HUD Project Number 017-HD015, which requires the establishment and maintenance of a replacement reserve f...

U.S. Department of Housing and Urban Development AUDIT FINDINGS: Finding Reference Number: 2023-001 Description of Finding: Homes with Hope, Inc. and Affiliate provides supportive housing via HUD Project Number 017-HD015, which requires the establishment and maintenance of a replacement reserve fund in accordance with its HUD Regulatory Agreement. The Project did not make the monthly deposits in a timely manner during the year ended December 31, 2023 as specified in the agreement, and seven months’ worth of deposits were delinquent as of December 31, 2023. This was due, at least in part, to cash flow issues that resulted from delays in the process that the Project’s property manager utilized during the period for invoicing HUD via a third-party vendor for the related rental subsidy funds. Statement of Concurrence or Nonconcurrence: Homes with Hope, Inc. and Affiliate concurs with this audit finding. Corrective Action: A new in-house billing process that does not rely on a third-party vendor has been implemented since year-end, which should eliminate the cash-flow issue, Additionally, all delinquent deposits that were due as of December 31, 2023, were deposited in March 2024. Name of Contact Person: Helen McAlinden President & Chief Executive Director 203-226-3426x14 hmcalinden@hwhct.org Projected Completion Date: Immediately

View Audit 342991

Finding 523546 (2023-002)

Significant Deficiency 2023

Pennsylvania Housing Finance Agency

PA

Questioned Costs Cash Management HUD Housing Programs

U.S. Department of Housing and Urban Development Housing Trust Fund Program – Assistance Listing No. 14.275 Recommendation: CLA recommended that PHFA review their procedures around administrative expenses charged to the HTF program. Explanation of disagreement with audit finding: There is no disa...

U.S. Department of Housing and Urban Development Housing Trust Fund Program – Assistance Listing No. 14.275 Recommendation: CLA recommended that PHFA review their procedures around administrative expenses charged to the HTF program. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: PHFA will implement electronic time tracking, this will replace the current manual process of preparing timesheets that are entered into a database used to accumulate administrative expenses charged to federal programs. PHFA is currently in the process of implementing a Human Capital Management system that will allow employees to track the time they work on federal programs. Name of the contact person responsible for corrective action: Adrianne Trumpy, Director of Accounting Planned completion date for corrective action plan: July 1, 2024

View Audit 342838 Questioned Costs: $1

Finding 523361 (2023-019)

Material Weakness 2023

Government of Guam

GU

Subrecipient Monitoring Reporting HUD Housing Programs

Finding No.: 2023-019 Reporting Responding Agency: Department of Administration (DOA) Responsible Personnel: Edward M. Birn, Director (DOA) An awardee could not report the required information in FSRS unless the federal awarding agency has registered the award. The US Treasury has no...

Finding No.: 2023-019 Reporting Responding Agency: Department of Administration (DOA) Responsible Personnel: Edward M. Birn, Director (DOA) An awardee could not report the required information in FSRS unless the federal awarding agency has registered the award. The US Treasury has not advised the Government that they have registered the Capital Projects Fund award.

View Audit 342645

Finding 523109 (2023-006)

Significant Deficiency 2023

Municipality of Las Piedras

PR

HUD Housing Programs Reporting

We partially concur with this finding. The unaudited report for the fiscal year ended June 30, 2023 was submitted through the portal of REAC on September 12, 2024. Regarding the late filing of the 2022 report, we concur with the finding. On September 12, 2024, the unaudited report for fiscal year...

We partially concur with this finding. The unaudited report for the fiscal year ended June 30, 2023 was submitted through the portal of REAC on September 12, 2024. Regarding the late filing of the 2022 report, we concur with the finding. On September 12, 2024, the unaudited report for fiscal year 2024 was submitted to REAC. The Department of Federal Programs will implement new controls and procedures to ensure these reports are prepared and submitted in a timely manner each subsequent fiscal year. Anticipated completion date: September 12, 2024 Contact person: Mr. Edjoel Cosme, Director of Federal Programs Telephone: (787) 733-2160 Email: federaleslp@gmail.com

View Audit 342411

Finding 522624 (2023-002)

Significant Deficiency 2023

Caldwell County, Missouri

MO

Subrecipient Monitoring Reporting HUD Housing Programs § 200.510

I was a newly elected official in 2023 with no prior training in the County Clerk’s office. I had no knowledge of how SEFA monies were to be reported. After this finding was brought to my attention, internal controls were implemented. A process/procedure was put into place where all grants received ...

I was a newly elected official in 2023 with no prior training in the County Clerk’s office. I had no knowledge of how SEFA monies were to be reported. After this finding was brought to my attention, internal controls were implemented. A process/procedure was put into place where all grants received are tracked, as are the expenditures for each grant. The clerk and deputy clerk are now involved in the grant tracking procedure as well as reviewing the SEFA report for accuracy after it is prepared. In January 2025 a Grant Policy was adopted by the Caldwell County Commission to make all county employees aware of the process for reporting and tracking grants received. The Grant Expenditures and Reimbursements Tracking Procedures were also revised. The procedure now involves not only the county clerk and deputy clerk, but also the grant applicant, accounts payable clerk, and the county Collector/Treasurer. The SEFA report will be reviewed by all involved to help ensure accuracy. Anticipated Completion Date: It is anticipated that the 2025 SEFA grant reporting will be much more accurate than in previous years. However, considering the new Grant Policy and the revised Grant Expenditures and Reimbursement Tracking Procedures were not in place until January 2025, it is anticipated that the date of completion will be January 2026.

View Audit 341878

Finding 522411 (2023-005)

Significant Deficiency 2023

400-408 Housing Development Fund Company INC

NY

HUD Housing Programs Internal Control / Segregation of Duties Cash Management

Management has acknowledged a breach in protocol and deposited the current year’s surplus cash on February 6, 2025.

View Audit 341688

Finding 522395 (2023-005)

Significant Deficiency 2023

Rome Housing Authority

NY

HUD Housing Programs Cash Management Significant Deficiency § 200.05

2023-005 Drawing of Capital Funds RHA is committed to ensuring that all capital fund expenditures are processed and distributed within a maximum of three days. By doing this we will stay in compliance with HUD regulations. Name of Responsible Person: Tami Lucia Executive Director Implementation d...

2023-005 Drawing of Capital Funds RHA is committed to ensuring that all capital fund expenditures are processed and distributed within a maximum of three days. By doing this we will stay in compliance with HUD regulations. Name of Responsible Person: Tami Lucia Executive Director Implementation date: October 2024

View Audit 341664

Finding 522394 (2023-004)

Significant Deficiency 2023

Rome Housing Authority

NY

HUD Housing Programs Reporting Significant Deficiency

he Executive Director has implemented procedures for the procurement of an auditor to ensure the Financia Data Schedule is filed within nine months after the conclusion of the fiscal year. Name of Responsible Person: Tami Lucia, Executive Director Implementation date: April 2024

View Audit 341664

Finding 522393 (2023-003)

Significant Deficiency 2023

Rome Housing Authority

NY

HUD Housing Programs Internal Control / Segregation of Duties Special Tests & Provisions

2023-003 Selection of the Waiting List RHA has put in place comprehensive new procedures and controls for all the staff members, including Clerks, Housing Assistants, Housing Coordinators and Project Managers, concerning the management of the waiting list process. As of September 2024m a new waitin...

2023-003 Selection of the Waiting List RHA has put in place comprehensive new procedures and controls for all the staff members, including Clerks, Housing Assistants, Housing Coordinators and Project Managers, concerning the management of the waiting list process. As of September 2024m a new waiting list will be generating following each new move-in, and the previous waiting list will be appropriately filed and preserved. Name of Responsible Person: Entire Admin Staff Implementation Date: September 2024

View Audit 341664

Finding 522198 (2023-004)

Material Weakness 2023

Municipality of Barceloneta

PR

HUD Housing Programs Reporting

We recommend of the municipality has issued clear and specific instructions to the director of this area, demanding that she and her team take immediate measures to ensure that these types of findings are not repeated in future fiscal periods or in the years to come.

View Audit 341405

Finding 522156 (2023-003)

Material Weakness 2023

Housing Authority of the County of Monroe

WI

HUD Housing Programs Reporting

Corrective Action Planned: The Authority will make sure their future audits are completed timely and Audited REAC submissions are completed on time.

View Audit 341370

Finding 520848 (2023-006)

Material Weakness 2023

Municipality of Ceiba

PR

HUD Housing Programs Eligibility Internal Control / Segregation of Duties

We concur with the finding. During the fiscal year 2024-2025, all participant files will be revised to include all missing documents referred to in the finding.

View Audit 340664

Corrective Action Plans

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