Corrective Action Plans

Finding 485470 (2023-001)

Significant Deficiency 2023

Golden Years Senior Apartments, Inc. 122-Ee-078-Wah-Np

CA

Questioned Costs HUD Housing Programs Subrecipient Monitoring

Statement of Condition #2023-001 (CFDA 14.157): During the year ended December 31, 2023, the Corporation made a payment on the CRA loan of $1,157 without HUD approval. Recommendation: Management should submit a residual receipts request to HUD for the withdrawal in the amount of $1,157. In the futu...

Statement of Condition #2023-001 (CFDA 14.157): During the year ended December 31, 2023, the Corporation made a payment on the CRA loan of $1,157 without HUD approval. Recommendation: Management should submit a residual receipts request to HUD for the withdrawal in the amount of $1,157. In the future, management should obtain approval from HUD before making any payments on the CRA loan. Action(s) taken or planned on the finding: Management concurs with the finding and will submit a residual receipts withdrawal request in the amount of $1,157 during the year ended December 31, 2024.

View Audit 318198 Questioned Costs: $1

Finding 485396 (2023-001)

Significant Deficiency 2023

Cushing Housing, INC

OK

HUD Housing Programs Cash Management Significant Deficiency

CORRECTIVE ACTION PLAN Name and Number of the Project: Cushing Housing, Inc. No. 117-11093 Audit Firm: M Group, LLP Audit Period: The year ended December 31, 2023 Compliance Review A. COMMENTS ON FINDINGS AND RECOMMENDATIONS We concur with the findings and recommendations of our auditors regard...

CORRECTIVE ACTION PLAN Name and Number of the Project: Cushing Housing, Inc. No. 117-11093 Audit Firm: M Group, LLP Audit Period: The year ended December 31, 2023 Compliance Review A. COMMENTS ON FINDINGS AND RECOMMENDATIONS We concur with the findings and recommendations of our auditors regarding our noncompliance as cited in the accompanying Schedule of Findings and Questioned Costs. ACTIONS TAKEN FINDING 1: HUD Guaranteed 223(a)(7) Mortgage 14.135 CORRECTIVE ACTION COMPLETED: Within 60 days of 2022 year end, the Company had expended any surplus cash on the operations of the property and the funds were no longer available. Management is in contact with HUD to find a resolution to the finding. We have prepared the corrective action plan as required by the standards applicable to financial statements contained in Government Auditing Standards and by the audit requirements of Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principals, and Audit Requirements for Federal Awards. Any questions regarding the above corrective action plan should be directed to Jimmy K. Arnold, President, Arnold Grounds Apartment Management & Affordable Housing Specialists.

View Audit 318132

Finding 485271 (2023-009)

Significant Deficiency 2023

Village of North Syracuse Housing Authority

NY

HUD Housing Programs Eligibility

With the newly hired staff as of October 2022, the process of selecting eligible tenants from the list has been accomplished by identifying the preference and verifying in writing th ereason for such preference to move forward with the housing the applicant. All verification is kep tin the eligible ...

With the newly hired staff as of October 2022, the process of selecting eligible tenants from the list has been accomplished by identifying the preference and verifying in writing th ereason for such preference to move forward with the housing the applicant. All verification is kep tin the eligible tenant file. The existing staff has had 10-15 years' experience maintaining Federal program waiting list.

View Audit 318024

Finding 485270 (2023-008)

Material Weakness 2023

Village of North Syracuse Housing Authority

NY

HUD Housing Programs Cash Management Internal Control / Segregation of Duties

When the new director, Robert Weismore, was hired on September 7, 2022, he replaced the former director and 3 staff members. In October he hired the current staff of Ms. Schaefer, Ms. Lynn. Ms. Filipski was hired as a part time employee in the middle of September 2022. For the next 2 months the staf...

When the new director, Robert Weismore, was hired on September 7, 2022, he replaced the former director and 3 staff members. In October he hired the current staff of Ms. Schaefer, Ms. Lynn. Ms. Filipski was hired as a part time employee in the middle of September 2022. For the next 2 months the staff reviewed each file and recalculated the figures using the correct payment standards for the necessary period and also used the September 1, 2022 approved utility schedule installed by the current staff. The recalculations caused the North Syracuse Housing Authority to reimburse $25,463 to previously miscalculated tenants. Also, had to repa HUD $23,000. The current payment standards are up to date and the current utility schedule was updated effective 7/1/2023 and will be updated effective 7/1/24 and each July thereafter.

View Audit 318024

Finding 485269 (2023-007)

Material Weakness 2023

Village of North Syracuse Housing Authority

NY

HUD Housing Programs Cash Management

Please see 2020-008 regarding payment standards and utility schedules. The current staff updated the current rent reasonableness comparisons during the summer of 2023. This was accomplished by completing a survey of area wide rents and amenities for comparable units. Each folder has a rent reasonabl...

Please see 2020-008 regarding payment standards and utility schedules. The current staff updated the current rent reasonableness comparisons during the summer of 2023. This was accomplished by completing a survey of area wide rents and amenities for comparable units. Each folder has a rent reasonableness form showing the comparables and justifying the rent being changed is eligible and within reason.

View Audit 318024

Finding 485268 (2023-006)

Material Weakness 2023

Village of North Syracuse Housing Authority

NY

HUD Housing Programs

When the current director, Robert Weismore was appointed his first obligation was to inspect 51 units that had been neglected by the former staff. As documentation in the files all previous nspections have been completed. The current staff, Sarah Schaefer, has become a certified inspector after comp...

When the current director, Robert Weismore was appointed his first obligation was to inspect 51 units that had been neglected by the former staff. As documentation in the files all previous nspections have been completed. The current staff, Sarah Schaefer, has become a certified inspector after completing the necessary course and passing the exam. All inspections whether annual or bi-annually are all completed within the time frame directed by HUD. The director currently will complete the supervisory inspections based on the percentage of program participation directed by HUD regulations.

View Audit 318024

Finding 485267 (2023-005)

Material Weakness 2023

Village of North Syracuse Housing Authority

NY

HUD Housing Programs Reporting

The new director and staff know that SEMAP reports are due annually. They also know that the report is the responsibility of the director to complete the SEMAP filing. The director who was in place during the 2019-2020-2021 should have filed the SEMAP report.

View Audit 318024

Finding 485266 (2023-004)

Material Weakness 2023

Village of North Syracuse Housing Authority

NY

HUD Housing Programs Cash Management Internal Control / Segregation of Duties

Effective 11/1/2022 all recommendations are completed with up to 90 days notice to prospective tenant, with notification as the proper verification needed to complete the recert to completion. Notification is also sent to the owner of the recertification. Once the proper verification is completed ca...

Effective 11/1/2022 all recommendations are completed with up to 90 days notice to prospective tenant, with notification as the proper verification needed to complete the recert to completion. Notification is also sent to the owner of the recertification. Once the proper verification is completed calculations are completed the tenant and owner are mailed an addendum starting new rental breakdown. The new current staff has between 10 and 15 years' experience completing recertifications. Please see item 2020-008 regarding utilities and payment standards.

View Audit 318024

Finding 485175 (2023-004)

Material Weakness 2023

Municipality of Corozal

PR

HUD Housing Programs Material Weakness Reporting

Finding 2023-004 Management’s Response: The Director of Federal Programs was instructed to correct this situation. The deadline was set for August 30, 2024.

View Audit 317982

Finding 485174 (2023-003)

Material Weakness 2023

Municipality of Corozal

PR

HUD Housing Programs Material Weakness Reporting

Finding 2023-003 Management’s Response: The Director of Federal Programs was instructed to correct this situation. The deadline was set for August 30, 2023.

View Audit 317982

Finding 485160 (2023-001)

None 2023

Safe Haven Family Shelter, Inc.

TN

Questioned Costs HUD Housing Programs Special Tests & Provisions

Safe Haven concurs with the finding and will adhere to the rent reasonableness requirements of Continuum of Care awards. To ensure compliance with rent reasonableness, management will vouch all rent reasonableness analyses to their respective disbursement request and ensure amounts disbursed do not ...

Safe Haven concurs with the finding and will adhere to the rent reasonableness requirements of Continuum of Care awards. To ensure compliance with rent reasonableness, management will vouch all rent reasonableness analyses to their respective disbursement request and ensure amounts disbursed do not exceed HUD-determined fair market rent rates.

View Audit 317971 Questioned Costs: $1

Finding 485124 (2023-002)

Material Weakness 2023

Housing Authority of the Town of Morristown

NJ

Questioned Costs HUD Housing Programs Material Weakness

Views of responsible officials and planned corrective action: The Authority accepts the recommendation of the auditor, and will implement internal control procedures that will ensure compliance with the Uniform Guidance. Allison Durham, Executive Director, is responsible for implementing this correc...

Views of responsible officials and planned corrective action: The Authority accepts the recommendation of the auditor, and will implement internal control procedures that will ensure compliance with the Uniform Guidance. Allison Durham, Executive Director, is responsible for implementing this corrective action by September 30, 2024.

View Audit 317907 Questioned Costs: $1

Finding 485121 (2023-001)

Significant Deficiency 2023

Johnnie B. Moore Towers Ii, Inc.

GA

HUD Housing Programs

Monthly deposits to the replacement reserves are required in the amount of $3,844. During the year ended December 31, 2023, the required reserve deposits were not made. HUD increased the replacement reserve requirement in December 2022, the Project did not make the change until September 2023. The ...

Monthly deposits to the replacement reserves are required in the amount of $3,844. During the year ended December 31, 2023, the required reserve deposits were not made. HUD increased the replacement reserve requirement in December 2022, the Project did not make the change until September 2023. The effect is noncompliance with the Regulatory Agreement. Management has updated the deposit amounts as of September 2023 and will make an additional deposits for the underfunding that occured Decemeber 2022 through August 2023.

View Audit 317905

Finding 485104 (2023-006)

Significant Deficiency 2023

City and County of Denver

CO

Special Tests & Provisions HUD Housing Programs Period of Performance § 200.303

Status: Corrective action in progress Corrective Action: The City agrees with the finding. HOST makes every effort to comply with all federal requirements. Starting with our 2020 ESG Award, HOST entered into 3-year contracts with our subrecipient providers within the outlined periods of performance ...

Status: Corrective action in progress Corrective Action: The City agrees with the finding. HOST makes every effort to comply with all federal requirements. Starting with our 2020 ESG Award, HOST entered into 3-year contracts with our subrecipient providers within the outlined periods of performance (POP): E-20-MC-08-0005/AWD-00001006 (06/26/2020 – 06/25/2022) E-21-MC-08-0005/AWD-00001212 (07/26/2021 – 07/25/2023) E-22-MC-08-0005/AWD-00001376 (11/04/2022 – 11/03/2024) While the annual Federal awards indicated a 24-month POP from the date of the contract execution/IDIS obligation date, the subrecipient contracts were encumbered and executed within a calendar year POP and amended as necessary upon receipt of the annual award. As such, there was overlap in the eligibility dates. The $2,426.75 under SI-00629712 was for EMERGENCY Essential Services for August case management. SI-00629712 was for eligible expenses in August 2023. The expenses should have been expensed under the E22 award based on the Federal POP. Executing multiple-year contracts for annual grant awards was a pilot project with the goal of improving the process. HOST has determined that annual subrecipient awards accordant to our Federal award timeline is more supportive of our internal grant policies and procedures. The Division of Operations and Impact has established policies and procedures that guarantee appropriate internal controls are in place to ensure that eligible expenditures are within a grant’s period of performance. A non-exhaustive list of the established policies that illustrate this are listed below: ٠Managing the AP Inbox & Data Entry into Salesforce ٠HOST Accounts Payable Voucher Processing Aid ٠HOST Contract Invoice Process Map Person(s) Responsible for Implementing: Ami Webb, HOST Division of Operations & Impact Finance Director Implementation Date: Complete

View Audit 317890

Finding 485101 (2023-004)

Material Weakness 2023

City and County of Denver

CO

Subrecipient Monitoring Allowable Costs / Cost Principles Cash Management § 200.303

Status: Completed Corrective Action: The City agrees with the finding. Remediation began with 2022-006. HOST makes every effort to comply with not only federal requirements but also City Charter requirements for timely payment. Occasionally there are exceptional circumstances where there is a need t...

Status: Completed Corrective Action: The City agrees with the finding. Remediation began with 2022-006. HOST makes every effort to comply with not only federal requirements but also City Charter requirements for timely payment. Occasionally there are exceptional circumstances where there is a need to update the City financial system Workday, for budget modifications or the like that could result in a delay of payment. In an effort to determine these items ahead of time we’ve updated our internal policies to require finance budget review prior to contract execution. Likewise, HOST is engaged in an application upgrade with Salesforce which is in the final User Acceptance Testing (UAT) phase to incorporate changes that now include status tracking for vendor invoice submissions and reimbursement payments. This will support a more comprehensive and accurate accounting of any legitimate postponed payments due to waiting on more required information from vendors, budget modifications, contract amendments, etc. Person(s) Responsible for Implementing: HOST Operations Division Directors Implementation Date: Q1-2024

View Audit 317890

Finding 485097 (2023-002)

Significant Deficiency 2023

City and County of Denver

CO

Special Tests & Provisions Procurement, Suspension & Debarment Subrecipient Monitoring § 200.303

Status: Complete Corrective Action: This matter has been remediated, however, per the assessment this issue is a carryover into 2023 sub-awards based on the contract timeframes. The City agrees with the finding. However, based on when the finding was identified, there was insufficient time to addres...

Status: Complete Corrective Action: This matter has been remediated, however, per the assessment this issue is a carryover into 2023 sub-awards based on the contract timeframes. The City agrees with the finding. However, based on when the finding was identified, there was insufficient time to address the finding prior to December 31, 2023. To remediate prior findings 2022-005 and 2021-010, HOST updated the agency’s Grant Administrator Policies & Procedures, and our Contract & Performance Management Policies that now include language to ensure obligation of funding within the required deadlines. These policies were modified complete in June 2022 and July 2023. HOST’s current Notice of Funding Availability (NOFA) cycle for ESG funding will apply to subrecipient programs awarded beginning 01/01/2024, with anticipated contract executions in Q4 2023. Copies of both policies were provided to BDO on August 16, 2023, in response to the finding. This matter has been remediated, however, per the assessment this issue is a carryover into 2022 sub-awards based on the contract timeframes. Person(s) Responsible for Implementing: HOST Operations Division Directors Implementation Date: July 2023

View Audit 317890

Finding 485085 (2023-002)

Material Weakness 2023

Sherman Apartments Association 071-Hd121

IL

Eligibility HUD Housing Programs Material Weakness

2023-002 Missing Eligibility Information - ALN# 14.181 Section 811 Supportive Housing for Persons with Disabilities – Year Ended June 30, 2023 Condition Found During the eligibility testing of the audit, the following deficiencies were identified – certain tenant files are not kept on file within...

2023-002 Missing Eligibility Information - ALN# 14.181 Section 811 Supportive Housing for Persons with Disabilities – Year Ended June 30, 2023 Condition Found During the eligibility testing of the audit, the following deficiencies were identified – certain tenant files are not kept on file within the required compliance timeframe. We consider this finding to be a material weakness with the Eligibility Compliance Requirement. Corrective Action Plan A new Finance Department position will be created that is responsible for working with residents and programmatic staff in order to ensure that tenant files are kept on file within the required compliance timeframe. Responsible Person for Corrective Action Plan Lore Baker, President & CEO Implementation Date of Corrective Action Plan September 2024

View Audit 317867

Finding 484797 (2023-001)

Significant Deficiency 2023

Miles City Eagles Manor

MT

HUD Housing Programs Matching / Level of Effort / Earmarking

On June 1, 2020, the Organization reached out to HUD with a plan to resolve the delinquent payments. Suggestions were to either forgive the loan or to have the payments be made from surplus cash. The Organization has not received correspondence concerning these suggestions as of the date on this rep...

On June 1, 2020, the Organization reached out to HUD with a plan to resolve the delinquent payments. Suggestions were to either forgive the loan or to have the payments be made from surplus cash. The Organization has not received correspondence concerning these suggestions as of the date on this report, November 25, 2023. Karen Burkett, the Managing Agent, will work with the Organization to resolve this matter. The anticipated completion date is June 30, 2024.

View Audit 317737

Finding 484794 (2023-001)

None 2023

Family Health Network of Central New York, Inc.

NY

Eligibility HUD Housing Programs

Recommendation: Our auditors recommended that we provide training to those making eligibility calculations and implementation in the new billing software. Action Taken: We are currently in the process of retraining staff on the sliding fee scale procedures and implementation in the new billing soft...

Recommendation: Our auditors recommended that we provide training to those making eligibility calculations and implementation in the new billing software. Action Taken: We are currently in the process of retraining staff on the sliding fee scale procedures and implementation in the new billing software. Name of Contact Person Responsible for Corrective Action: Kimberly Osborne, President/Chief Executive Officer, (607) 753-3797. Anticipated Completion Date: June 2024

View Audit 317732

Finding 484730 (2023-021)

Significant Deficiency 2023

Housing Authority of the City of Fayetteville

IL

HUD Housing Programs

Views of Responsible Officials and Planned Corrective Actions: At the time of the inquiry, FHA Development, Inc., which is a non-profit partner of the PHA and whose properties were managed by the PHA utilized the same attorney as the PHA. The attorney information request was not returned by the att...

Views of Responsible Officials and Planned Corrective Actions: At the time of the inquiry, FHA Development, Inc., which is a non-profit partner of the PHA and whose properties were managed by the PHA utilized the same attorney as the PHA. The attorney information request was not returned by the attorney to the PHA. The PHA will work to ensure response is received in the future in a timely manner so that no similar situation arises within its control and that the PHA will take legal remedies available should the attorney or any future attorney fail to respond to audit inquiries.

View Audit 317623

Finding 484729 (2023-020)

Significant Deficiency 2023

Housing Authority of the City of Fayetteville

IL

HUD Housing Programs

Views of Responsible Officials and Planned Corrective Actions: The disruption caused by the COVID pandemic and staff turnover had an impact on the adherence to proper inspection protocols. The Executive Director and the Director of Programs have implemented a strict annual inspection regimen for al...

Views of Responsible Officials and Planned Corrective Actions: The disruption caused by the COVID pandemic and staff turnover had an impact on the adherence to proper inspection protocols. The Executive Director and the Director of Programs have implemented a strict annual inspection regimen for all units. In addition, internal file audits and quality control inspections are carried out by either the Executive Director or the Director of Programs to uphold and verify compliance with these standards. The future Compliance Specialist will be responsible for conducting a review as well.

View Audit 317623

Finding 484728 (2023-019)

Material Weakness 2023

Housing Authority of the City of Fayetteville

IL

HUD Housing Programs Internal Control / Segregation of Duties

Views of Responsible Officials and Planned Corrective Actions: The Executive Director and Director of Finance are committed to guaranteeing that all invoices receive proper initials or signatures from either of them or a designated representative of the Executive Director. This protocol will be in ...

Views of Responsible Officials and Planned Corrective Actions: The Executive Director and Director of Finance are committed to guaranteeing that all invoices receive proper initials or signatures from either of them or a designated representative of the Executive Director. This protocol will be in place to confirm the accuracy and authorization of invoices. Furthermore, a comprehensive Accounts Payable Procedure has been established to guide all staff purchases, ensuring accuracy and compliance.

View Audit 317623

Finding 484727 (2023-018)

Material Weakness 2023

Housing Authority of the City of Fayetteville

IL

Procurement, Suspension & Debarment HUD Housing Programs

Views of Responsible Officials and Planned Corrective Actions: Due to a change in personnel, the current administration encountered difficulties in locating and furnishing credit card receipts. The Executive Director and Director of Finance have conscientiously implemented strategies since assuming...

Views of Responsible Officials and Planned Corrective Actions: Due to a change in personnel, the current administration encountered difficulties in locating and furnishing credit card receipts. The Executive Director and Director of Finance have conscientiously implemented strategies since assuming their roles to create a structured electronic record-keeping system for all receipts. They have also established a meticulous protocol for the preservation of original documents, streamlining the review process for greater convenience and efficiency.

View Audit 317623

Finding 484726 (2023-017)

Significant Deficiency 2023

Housing Authority of the City of Fayetteville

IL

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

Views of Responsible Officials and Planned Corrective Actions: As a result of a staffing transition, the present administration encountered challenges in locating and furnishing Davis-Bacon certified payroll reports. To address this concern, the Executive Director and Director of Finance are intens...

Views of Responsible Officials and Planned Corrective Actions: As a result of a staffing transition, the present administration encountered challenges in locating and furnishing Davis-Bacon certified payroll reports. To address this concern, the Executive Director and Director of Finance are intensifying their efforts to enhance the preservation of records and ensuring that all requested information is readily accessible for audit scrutiny. The Executive Director will be overseeing labor standard compliance by conducting onsite interviews with construction workers, scrutinizing payroll reports, and overseeing any necessary additional enforcement actions as suggested.

View Audit 317623

Finding 484723 (2023-014)

Significant Deficiency 2023

Housing Authority of the City of Fayetteville

IL

Questioned Costs Procurement, Suspension & Debarment HUD Housing Programs

Views of Responsible Officials and Planned Corrective Actions: Fayetteville Housing Authority is committed to conducting a comprehensive review of all contract files to ascertain that they contain thorough documentation of the contract, associated expenditures, and progress reports. In the future, ...

Views of Responsible Officials and Planned Corrective Actions: Fayetteville Housing Authority is committed to conducting a comprehensive review of all contract files to ascertain that they contain thorough documentation of the contract, associated expenditures, and progress reports. In the future, contract files will be maintained in strict accordance with HUD procurement policies.

View Audit 317623 Questioned Costs: $1

Corrective Action Plans

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