Corrective Action Plans

Finding 401274 (2023-002)

None 2023

Hickory Lane One, INC

MD

Questioned Costs Cash Management HUD Housing Programs

The Corporation is working to make the required deposits as cash flow permits.

View Audit 309294 Questioned Costs: $1

Finding 401237 (2023-001)

Material Weakness 2023

Allegheny County Industrial Development Authority

PA

Allowable Costs / Cost Principles Matching / Level of Effort / Earmarking Special Tests & Provisions § 200.303

May 31, 2024 Finding 2023-001: Allowable Costs/Cost Principles, Reporting, and Special Tests and Provisions Industrial Development Authority Corrective Action Plan: To ensure financial statements, Federal tax returns, Personal Financial Statements, and insurance renewals are received annually the in...

May 31, 2024 Finding 2023-001: Allowable Costs/Cost Principles, Reporting, and Special Tests and Provisions Industrial Development Authority Corrective Action Plan: To ensure financial statements, Federal tax returns, Personal Financial Statements, and insurance renewals are received annually the invoice for December will include a reminder, with appropriate due dates, to the borrower. Additionally, in January a separate letter will be sent to each borrower requesting the updated information. Finally, a member of the Business Development staff will be responsible for calling any borrower that fails to comply and request the information. A member of the Business Development staff will perform an annual site visit to each borrower. The individual responsible for filing the ED-209 reports is no longer employed at Allegheny County Economic Development. To ensure the reports are prepared in a correct manner and submitted in a timely manner a member of the Business Development staff will be trained on how to complete and submit the report. In 2024 a reviewing routing procedure was initiated where the reports were circulated for review by the Assistant Director, Operations, Sr. Finance Manager, and Deputy Director review the reports prior to submission. To ensure the reports are submitted timely staff will be required to circulate the report for review at least two weeks prior to the deadline. Additionally, a member of the Fiscal staff will be responsible for reconciling the ED-209 reports with the Authority's financial records and balances. Finally, a checklist for each loan will be provided to each staff member to ensure that all documents are received and kept in the appropriate file. For all new loans a Manager will be responsible for reviewing each file prior to and at closing to ensure that all documents have been reviewed.

View Audit 309227

Finding 401176 (2023-003)

Significant Deficiency 2023

Trellis Co.

MN

Questioned Costs HUD Housing Programs Cash Management

FINDING 2023-003: Unauthorized receipt of COVID-19 Supplemental Payments (CSP) Name of contact person – Megan Netland, Vice President of Asset Management Corrective action – The applications for reimbursement for program periods 1 through 3 were made in error. The Corporation has contacted HUD and i...

FINDING 2023-003: Unauthorized receipt of COVID-19 Supplemental Payments (CSP) Name of contact person – Megan Netland, Vice President of Asset Management Corrective action – The applications for reimbursement for program periods 1 through 3 were made in error. The Corporation has contacted HUD and is awaiting a response. Proposed completion date – Management has contacted HUD and is awaiting a response.

View Audit 309200 Questioned Costs: $1

Finding 401148 (2023-001)

Significant Deficiency 2023

Trellis Co.

MN

Internal Control / Segregation of Duties HUD Housing Programs

FINDING 2023-001: Lack of Segregation of Duties – Cash Receipts Name of contact person – Lisa Fischer, Chief Operating Officer Corrective action – The Corporation is acquiring a check scanning machine from our bank that will allow our administrative assistant to deposit the checks electronically as ...

FINDING 2023-001: Lack of Segregation of Duties – Cash Receipts Name of contact person – Lisa Fischer, Chief Operating Officer Corrective action – The Corporation is acquiring a check scanning machine from our bank that will allow our administrative assistant to deposit the checks electronically as soon as they arrive in the mail. Proposed completion date – This request has been made to Bridgewater Bank and the machine will be active in the immediate future.

View Audit 309200

Finding 400975 (2023-004)

Significant Deficiency 2023

B'nai B'rith Women Senior Citizen Housing

TX

HUD Housing Programs Reporting Internal Control / Segregation of Duties § 200.512

We will follow the HUD filing requirements of the regulatory agreement going forward. The financial statements for the year ended April 30, 2023 will be submitted electronically to HUD no later than June 30, 2024.

View Audit 309038

Finding 400972 (2023-002)

Significant Deficiency 2023

B'nai B'rith Women Senior Citizen Housing

TX

HUD Housing Programs

As of the date of this letter, management has implemented a control to ensure the monthly transfer is completed automatically and for the correct amount in accordance with the Regulatory Agreement.

View Audit 309038

Finding 400949 (2023-008)

Material Weakness 2023

Housing Authority of the City of Dodge City

KS

Questioned Costs HUD Housing Programs

2023-008. Rent Deposits Corrective action planned: We implemented our new practices in January of 2024. Contact person: Matt Brady, Executive Director. Anticipated completion date: January 2024

View Audit 309004 Questioned Costs: $1

Finding 400948 (2023-007)

Significant Deficiency 2023

Housing Authority of the City of Dodge City

KS

HUD Housing Programs Reporting Internal Control / Segregation of Duties

2023-007. SEMAP Supporting Documentation Corrective action planned: QC on all indicators is now being completed as required. Contact person: Matt Brady, Executive Director. Anticipated completion date: September 30, 2024

View Audit 309004

Finding 400947 (2023-006)

Significant Deficiency 2023

Housing Authority of the City of Dodge City

KS

HUD Housing Programs Reporting Internal Control / Segregation of Duties

2023-006. Significant Audit Adjustments Corrective action planned: I have spoken with Lindsey and Company and will better communicate. Contact person: Matt Brady, Executive Director. Anticipated completion date: September 30, 2024

View Audit 309004

Finding 400946 (2023-005)

Significant Deficiency 2023

Housing Authority of the City of Dodge City

KS

HUD Housing Programs Procurement, Suspension & Debarment

2023-006. Tenant Accounts Receivable Corrective action planned: Hire new employee to assist our PH – Operations Manager. Contact person: Matt Brady, Executive Director. Anticipated completion date: August 31, 2024

View Audit 309004

Finding 400929 (2023-003)

Significant Deficiency 2023

South Fulton Homes, Inc.

GA

HUD Housing Programs Internal Control / Segregation of Duties Significant Deficiency

2023-003 Clients Not Billed in Accordance with the Housing Owner’s Certification and Application for Housing Assistance Payments Recommendation: We recommend that accounting staff responsible for client billing is provided sufficient training and oversight. Additionally, we recommend that monthly ...

2023-003 Clients Not Billed in Accordance with the Housing Owner’s Certification and Application for Housing Assistance Payments Recommendation: We recommend that accounting staff responsible for client billing is provided sufficient training and oversight. Additionally, we recommend that monthly billing of client rent is reviewed and reconciled in accordance with the Housing Owner’s Certification and Application for Housing Assistance Payments. Auditee Response: We concur with the finding and have begun implementing the recommendations.

View Audit 308973

Finding 400928 (2023-002)

Significant Deficiency 2023

South Fulton Homes, Inc.

GA

HUD Housing Programs

2023-002 Tenant Leases and Annual Recertifications Not Signed by Tenant Recommendation We recommend policies are developed to ensure all required documents are signed. Action Taken We concur with the finding and will implement the recommendation immediately.

View Audit 308973

Finding 400927 (2023-003)

Significant Deficiency 2023

South Metro Homes, Inc.

GA

HUD Housing Programs Internal Control / Segregation of Duties Significant Deficiency

2023-003 Clients Not Billed in Accordance with the Housing Owner’s Certification and Application for Housing Assistance Payments Recommendation: We recommend that accounting staff responsible for client billing is provided sufficient training and oversight. Additionally, we recommend that monthly ...

2023-003 Clients Not Billed in Accordance with the Housing Owner’s Certification and Application for Housing Assistance Payments Recommendation: We recommend that accounting staff responsible for client billing is provided sufficient training and oversight. Additionally, we recommend that monthly billing of client rent is reviewed and reconciled in accordance with the Housing Owner’s Certification and Application for Housing Assistance Payments. Auditee Response: We concur with the finding and have begun implementing the recommendations.

View Audit 308972

Finding 400926 (2023-002)

Significant Deficiency 2023

South Metro Homes, Inc.

GA

HUD Housing Programs

2023-002 Tenant Leases and Annual Recertifications Not Signed by Tenant Recommendation We recommend policies are developed to ensure all required documents are signed. Action Taken We concur with the finding and will implement the recommendation immediately.

View Audit 308972

Finding 400860 (2023-001)

Material Weakness 2023

The Development Corporation of Orchard Knob, Inc.

GA

HUD Housing Programs Internal Control / Segregation of Duties

In accordance with HUD regulations, entities should have sufficient fidelity bond insurance coverage. The Project did not have sufficient coveraget as of 12/31/23. The Project is noncompliant with the HUD regulatory agreement. Housing Resource Center, Inc. (management agent) will expedite the proces...

In accordance with HUD regulations, entities should have sufficient fidelity bond insurance coverage. The Project did not have sufficient coveraget as of 12/31/23. The Project is noncompliant with the HUD regulatory agreement. Housing Resource Center, Inc. (management agent) will expedite the process of increasing the policy coverage amount.

View Audit 308887

Finding 400858 (2023-001)

Significant Deficiency 2023

Alice Williams Towers, Inc.

GA

Questioned Costs Allowable Costs / Cost Principles HUD Housing Programs

In accordance with HUD regulations, entities should not make unauthorized distributions of Project. The Project paid expenses for an adjacent project. The Corporation paid non-project expenses from Project funds. The Project is noncompliant with HUD regulatory agreement. Management is in agreement w...

In accordance with HUD regulations, entities should not make unauthorized distributions of Project. The Project paid expenses for an adjacent project. The Corporation paid non-project expenses from Project funds. The Project is noncompliant with HUD regulatory agreement. Management is in agreement with the finding, amounts were paid for non-project expenses.

View Audit 308886 Questioned Costs: $1

Finding 400842 (2023-003)

Significant Deficiency 2023

Housing and Redevelopment Authority of Owatonna

MN

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

Finding: 2023-003 Lack of Depository Agreement – Special Provisions Federal agency: U.S. Department of Housing and Urban Development Federal program Title: Housing Choice Voucher Program Assistance Listing Number: 14.871 and 14.879 Federal Award Identification Number and Year: N/A Pass-Through Agen...

Finding: 2023-003 Lack of Depository Agreement – Special Provisions Federal agency: U.S. Department of Housing and Urban Development Federal program Title: Housing Choice Voucher Program Assistance Listing Number: 14.871 and 14.879 Federal Award Identification Number and Year: N/A Pass-Through Agency: N/A Pass-Through Number(s): N/A Award Period: December 31, 2023 Type of Finding: Material Weakness in Internal Control Over Compliance and Other Matters Recommendation: We recommend the HRA enter into this agreement into place as soon as possible. Views of Responsible Officials: There is no disagreement with the audit finding. Action Taken in Response to Finding: The HRA will get a depository agreement in place. Name of the Contact Person Responsible for Corrective Action Plan: Rhonda Moen, Finance Manager Planned Completion Date for Corrective Action Plan: December 31, 2024.

View Audit 308850

Finding 400647 (2023-001)

Significant Deficiency 2023

Casa De Primavera Apts, LLC - Dba Casa De Primavera 123-11222

AZ

Questioned Costs HUD Housing Programs

Comments on the Finding and Each Recommendation: As of June 30, 2023, deposits to the reserve for replacements totaling $768 had not been made. Pursuant to Section 10 of the Regulatory Agreement, the Company shall deposit a monthly amount into the reserve for replacements account. The amount of t...

Comments on the Finding and Each Recommendation: As of June 30, 2023, deposits to the reserve for replacements totaling $768 had not been made. Pursuant to Section 10 of the Regulatory Agreement, the Company shall deposit a monthly amount into the reserve for replacements account. The amount of the monthly deposit may be increased or decreased from time to time at the written direction of HUD. Effective April 1, 2023, HUD increased the monthly deposit from $8,012 to $8,396. Management inadvertently did not increase the monthly deposit until June 2023. As a result, the Company was not in compliance with the terms of the Regulatory Agreement. The reserve for replacements was underfunded by $768 as of June 30, 2023. Action(s) taken or planned on the finding: Management concurs with the finding and recommendation and transferred $768 to the reserve for replacements on August 11, 2023. No further action is required.

View Audit 308702 Questioned Costs: $1

Finding 400643 (2023-004)

Significant Deficiency 2023

Fairbanks Community Homes 176-Hd-021

AK

HUD Housing Programs Reporting

Failure to submit REAC report Name of Contact:Kendrick D. Blais, President Management's view:Management agrees with the finding. Corrective Action: Management will transfer surplus cash to the...

Failure to submit REAC report Name of Contact:Kendrick D. Blais, President Management's view:Management agrees with the finding. Corrective Action: Management will transfer surplus cash to the residual receipts account. Proposed Completion Date: June 30, 2024

View Audit 308683

Finding 400642 (2023-003)

Significant Deficiency 2023

Fairbanks Community Homes 176-Hd-021

AK

HUD Housing Programs Cash Management

Failure to Return Residual Receipts to HUD Name of Contact:Kendrick D. Blais, President Management's view:Management agrees with the finding. Corrective Action: Management will transfer surplus cash to the residual rece...

Failure to Return Residual Receipts to HUD Name of Contact:Kendrick D. Blais, President Management's view:Management agrees with the finding. Corrective Action: Management will transfer surplus cash to the residual receipts account. Proposed Completion Date: June 30, 2024

View Audit 308683

Finding 400641 (2023-002)

Significant Deficiency 2023

Fairbanks Community Homes 176-Hd-021

AK

HUD Housing Programs Cash Management Reporting

Failure to deposit Surplus Cash in the Residual Receipts accounts Name of Contact:Kendrick D. Blais, President Management's view:Management agrees with the finding. Corrective Action: Management will transfer surplus cash to the residual receipts account. ...

Failure to deposit Surplus Cash in the Residual Receipts accounts Name of Contact:Kendrick D. Blais, President Management's view:Management agrees with the finding. Corrective Action: Management will transfer surplus cash to the residual receipts account. Proposed Completion Date: June 30, 2024

View Audit 308683

Finding 400595 (2023-004)

Material Weakness 2023

City of Portsmouth

OH

Subrecipient Monitoring Matching / Level of Effort / Earmarking Internal Control / Segregation of Duties § 200.303

2023-004 FFATA Reporting Recommendation: We recommend the City establish procedures and internal controls to ensure that all required subawards are reported timely and accurately to FSRS no later than the end of the month following the month of issuance of each subaward. Explanation of disagreemen...

2023-004 FFATA Reporting Recommendation: We recommend the City establish procedures and internal controls to ensure that all required subawards are reported timely and accurately to FSRS no later than the end of the month following the month of issuance of each subaward. Explanation of disagreement with audit finding: NO Action taken in response to finding: Review City’s policy and Establish procedures and internal controls to ensure that all required subawards are reported timely and accurately to FSRS n later than the end of the month following the month of issuance of each subaward. Name(s) of the contact person(s) responsible for corrective action: Jeffrey Crimer, Doug Weller, Kyera Pope. Planned completion date for corrective action plan: 06/30/2024. Moving forward: No later than the end of the month following the month of issuance of each subaward.

View Audit 308638

Finding 400586 (2023-001)

Significant Deficiency 2023

City of Portsmouth

OH

Subrecipient Monitoring HUD Housing Programs Reporting § 200.303

2023-001 Reporting- IDIS Recommendation: We recommend that the City review its policies and procedures to ensure that compliance with federal reporting requirements are evident. Explanation of disagreement with audit finding: NO Action taken in response to finding: Review grant policy and proc...

2023-001 Reporting- IDIS Recommendation: We recommend that the City review its policies and procedures to ensure that compliance with federal reporting requirements are evident. Explanation of disagreement with audit finding: NO Action taken in response to finding: Review grant policy and procedures to ensure that City’s policy and procedure is in compliance with federal reporting requirements. Name(s) of the contact person(s) responsible for corrective action: Jeffrey Crimer, Doug Weller, Kyera Pope. Planned completion date for corrective action plan: 06/30/2024.

View Audit 308638

Finding 400514 (2023-002)

Material Weakness 2023

Housing Authority of the City of Winter Park

FL

Allowable Costs / Cost Principles Eligibility HUD Housing Programs

Steps to resolve: We will perform a complete review of all Low Income Public Housing and Housing Authority policies over disbursements to ensure compliance with these policies. Management will implement procedures and staffing changes to clear this finding in FY 2024. Timeframe: By FYE September...

Steps to resolve: We will perform a complete review of all Low Income Public Housing and Housing Authority policies over disbursements to ensure compliance with these policies. Management will implement procedures and staffing changes to clear this finding in FY 2024. Timeframe: By FYE September 30, 2024 Individual responsible for correction: Tarena Grant, Interim Executive Director

View Audit 308505

Finding 400509 (2023-002)

None 2023

Meds Apartments

IL

Questioned Costs Cash Management HUD Housing Programs

Management has implemented procedures to ensure timely deposit of the surplus cash to the residual receipts account.

View Audit 308500 Questioned Costs: $1

Corrective Action Plans

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