Corrective Action Plans

Finding 478208 (2023-001)

Significant Deficiency 2023

WA

HUD Housing Programs Significant Deficiency Internal Control / Segregation of Duties

Management has implemented a quarterly inspection schedule of all units with documentation centrally located for visibility.

View Audit 314901

Finding 478206 (2023-001)

Significant Deficiency 2023

Providence Manor Development Corporation

GA

Questioned Costs HUD Housing Programs

Amounts paid to management company exceed amounts dictated in agreement and approved by HUD. Management fees were overpaid during the year ended December 31, 2023. Controls were not in place to ensure managemennt fees were calculated and paid in accordance with the agreement. The effect is that the ...

Amounts paid to management company exceed amounts dictated in agreement and approved by HUD. Management fees were overpaid during the year ended December 31, 2023. Controls were not in place to ensure managemennt fees were calculated and paid in accordance with the agreement. The effect is that the project is not in compliance with HUD requirements. Policies and procedures will be reviewed to ensure management fees are paid in accordance with executed agreements as required by HUD.

View Audit 314896 Questioned Costs: $1

Finding 478202 (2023-003)

Significant Deficiency 2023

Anderson Place Apartments, Inc.

IN

HUD Housing Programs Cash Management

The management of Anderson Place Apartments, Inc. accepts the recommendation of Deming, Malone, Livesay & Ostroff and, accordingly, management will contact HUD to ensure that all excess residual receipts are remitted to HUD as soon as possible.

View Audit 314892

Finding 478199 (2023-003)

Significant Deficiency 2023

Edsil's Place Apartments, Inc.

KY

HUD Housing Programs Cash Management

The management of Edsil’s Place Apartments, Inc. accepts the recommendation of Deming, Malone, Livesay & Ostroff and, accordingly, management will contact HUD to ensure that all excess residual receipts are remitted to HUD as soon as possible.

View Audit 314891

Finding 478191 (2023-002)

Significant Deficiency 2023

Alliance Apartments Housing Development Fund Co., Inc.

NY

Cash Management HUD Housing Programs Matching / Level of Effort / Earmarking

We have requested HUD approval to delay reimbursement of the reserves pending receipt of Budget Based Rent increase. We anticipate that this will be approved.

View Audit 314887

Finding 478187 (2023-003)

Material Weakness 2023

Jackson Housing Commission

MI

HUD Housing Programs Allowable Costs / Cost Principles Eligibility

Finding 2023-003 - Lack of Data Available to Audit Federal Compliance Requirements Applicable to the Section 8 Housing Choice Program (Material Weakness, Potential Material Noncompliance) Public Housing Program -Assistance Listing No. 14.871; Grant period - fiscal year ended March 31,2023 Condition:...

Finding 2023-003 - Lack of Data Available to Audit Federal Compliance Requirements Applicable to the Section 8 Housing Choice Program (Material Weakness, Potential Material Noncompliance) Public Housing Program -Assistance Listing No. 14.871; Grant period - fiscal year ended March 31,2023 Condition: We did not attain sufficient supporting data in order to audit the Commission's compliance with the Allowable Activities, Allowable Costs , Eligibility, Reporting and Special Tests and Provisions compliance requirements applicable to the Section 8 Housing Choice Voucher Program. Contact person responsible for corrective action: Arturo Puckerin Corrective action planned: The authority hired a new financial fee accountant to review the internal controls and the state of the Authority's financials as of fiscal year 2023 forward. The authority was able to correct the HUD REAC Financial Data Schedule for the audited financials for fiscal year 2023, record the pension and other post-retirement employment benefits balances and begin work on reconstructing the capital asset register. The authority has integrated proper financial and accounting internal controls through the accounts payable, cash receipts, payroll and accounting entries during fiscal year 2024. The authority has the financial fee accountant work with accounting and program staff to ensure the financials are materially stated monthly, hud reporting is completed on a timely basis with materially stated financial and operational information and the executive staff is reviewing the appropriate financial information. The board approved the fiscal year 2025 budget which was in balance and set the course for continued improvement of financial reporting and proper internal controls over financial reporting. The Authority has reconciled the (HCVP) activities to the account ledgers for program, housing assistance payments, subsidies received by type and other income through fiscal year-end 2024 and forward. Anticipated completion date: March 31, 2024

View Audit 314861

Finding 478186 (2023-004)

Material Weakness 2023

Jackson Housing Commission

MI

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

Finding 2023-004 - Lack of Data Available to Audit Federal Compliance Requirements Applicable to the Public Housing Capital Fund Program (Material Weakness, Potential Material Noncompliance) Public Housing Program-Assistance Listing No.14.872; Grant period-fiscal year ended March 31,2023 Condition: ...

Finding 2023-004 - Lack of Data Available to Audit Federal Compliance Requirements Applicable to the Public Housing Capital Fund Program (Material Weakness, Potential Material Noncompliance) Public Housing Program-Assistance Listing No.14.872; Grant period-fiscal year ended March 31,2023 Condition: We did not attain sufficient supporting data in order to audit the Commission's compliance with the Allowable Activities, Allowable Costs, Cash Management, Procurement and Special Tests and Provisions compliance requirements applicable to the Capital Fund Program . Contact person responsible for corrective action: Arturo Puckerin Corrective action planned: The authority hired a new financial fee accountant to review the internal controls and the state of the Authority's financials as of fiscal year 2023 forward. The authority was able to correct the HUD REAC Financial Data Schedule for the audited financials for fiscal year 2023, record the pension and other post-retirement employment benefits balances and begin work on reconstructing the capital asset register. The authority has integrated proper financial and accounting internal controls through the accounts payable, cash receipts, payroll and accounting entries during fiscal year 2024. The authority has the financial fee accountant work with accounting and program staff to ensure the financials are materially stated monthly, hud reporting is completed on a timely basis with materially stated financial and operational information and the executive staff is reviewing the appropriate financial information. The board approved the fiscal year 2025 budget which was in balance and set the course for continued improvement of financial reporting and proper internal controls over financial reporting. The Authority has reconciled the Capital fund accounting activity to the respective Capital Fund approved budgets by active program years, reconciled drawdowns and properly recorded the expenditures and drawdown by respective grant years and applicability to Asset Management Properties. Anticipated completion date: March 31, 2024

View Audit 314861

Finding 478185 (2023-002)

Material Weakness 2023

Jackson Housing Commission

MI

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

Finding 2023-002 - Lack of Data Available to Audit Federal Compliance Requirements Applicable to the Public Housing Program (Material Weakness, Potential Material Noncompliance) - Continued Corrective action planned: The authority hired a new financial fee accountant to review the internal controls ...

Finding 2023-002 - Lack of Data Available to Audit Federal Compliance Requirements Applicable to the Public Housing Program (Material Weakness, Potential Material Noncompliance) - Continued Corrective action planned: The authority hired a new financial fee accountant to review the internal controls and the state of the Authority's financials as of fiscal year 2023 forward. The authority was able to correct the HUD REAC Financial Data Schedule for the audited financials for fiscal year 2023, record the pension and other post-retirement employment benefits balances and begin work on reconstructing the capital asset register. The authority has integrated proper financial and accounting internal controls through the accounts payable, cash receipts, payroll and accounting entries during fiscal year 2024. The authority has the financial fee accountant work with accounting and program staff to ensure the financials are materially stated monthly, hud reporting is completed on a timely basis with materially stated financial and operational information and the executive staff is reviewing the appropriate financial information. The board approved the fiscal year 2025 budget which was in balance and set the course for continued improvement of financial reporting and proper internal controls over financial reporting. Anticipated completion date: March 31, 2024

View Audit 314861

Finding 478184 (2023-002)

None 2023

Desoto Parish Police Jury

LA

HUD Housing Programs

The Police Jury will adhere to the standards required by the Section 8 administative plan by placing the performed annual inspections in the unit files.

View Audit 314858

Finding 478181 (2023-002)

None 2023

Plainfield Housing Authority

CT

HUD Housing Programs Subrecipient Monitoring Significant Deficiency

In the past, the Housing Authority has completed Rent Reasonableness forms for every new and existing tenant by referring to a rent comparison log that is periodically updated and l<ept in the office. Every tenant has the form in their files and the FMR guidelines were always adhered to assure that ...

In the past, the Housing Authority has completed Rent Reasonableness forms for every new and existing tenant by referring to a rent comparison log that is periodically updated and l<ept in the office. Every tenant has the form in their files and the FMR guidelines were always adhered to assure that the rents proposed by Landlords were reasonable. The Plainfield Housing Authority has now contracted with RentWatch as of January 4, 2024, which allows the Housing Authority to see comparable rents and automatically produces Rent Reasonable reports to print and put in tenant files.

View Audit 314846

Finding 478180 (2023-001)

None 2023

Plainfield Housing Authority

CT

HUD Housing Programs Subrecipient Monitoring Eligibility

When this finding was brought to my attention, I made an immediate attempt to rectify this issue by having form 52675 signed and dated by tenants being recertified for continued assistance and have included this form in tenants' recertification packets. As of November 2024, Form 52675 will be in all...

When this finding was brought to my attention, I made an immediate attempt to rectify this issue by having form 52675 signed and dated by tenants being recertified for continued assistance and have included this form in tenants' recertification packets. As of November 2024, Form 52675 will be in all tenant files.

View Audit 314846

Finding 478173 (2023-001)

Significant Deficiency 2023

Village of Lawrence, Inc.

KS

HUD Housing Programs Reporting Significant Deficiency § 200.512

The Board of Directors will designate an individual to document financial statement preparation processes which ensure timely submission of the Single Audit Reporting Package.

View Audit 314841

Finding 478163 (2023-001)

Material Weakness 2023

Purdy R-II School District

MO

Internal Control / Segregation of Duties HUD Housing Programs

CORRECTIVE ACTION PLAN August 11, 2023 U.S. DEPARTMENT OF EDUCATION U.S. DEPT. OF AGRICULTURE Purdy School District R-II respectfully submits the following corrective action plan for the year ended June 30, 2023. Contact information for the individual responsible for the corrective action: Dr T...

CORRECTIVE ACTION PLAN August 11, 2023 U.S. DEPARTMENT OF EDUCATION U.S. DEPT. OF AGRICULTURE Purdy School District R-II respectfully submits the following corrective action plan for the year ended June 30, 2023. Contact information for the individual responsible for the corrective action: Dr Travis Graham, Superintendent Purdy School District R-II 201 Gabby Gibbons Dr Purdy, MO 65734 (417) 442-3215 Independent Public Accounting Firm: The CPA Group, PC, 217 4th Street, Monett, MO 65708 Audit Period: Year ended June 30, 2023 The findings from the June 30, 2023, Schedule of Findings and Questioned Costs are discussed below. The findings are numbered consistently with the numbers assigned in the schedule. FINDINGS – FINANCIAL STATEMENT AUDIT Material Weakness – Internal Control over Financial Reporting - Segregation of duties Finding 2023-001 Recommendation: We realize Because of limited resources and personnel, management may not be able to achieve a proper segregation of duties; however, our professional standards require that we bring this lack of segregation of duties to your attention in this report. Action Taken: The limited number of available personnel prohibits segregation of incompatible duties and the District does not have the resources to hire additional accounting personnel. Completion Date: Not applicable Sincerely, Dr Travis Graham, Superintendent Purdy School District R-II

View Audit 314835

Finding 477956 (2023-002)

None 2023

Timberlawn Place, Inc.

TN

Cash Management HUD Housing Programs

MANAGEMENT AGREES WITH THE FINDING. THE RESIDUAL RECEIPTS ACCOUNT DEFICIENCY WAS FUNDED ON SEPTEMBER 7, 2023 IN THE AMOUNT OF $21,785. MANAGEMENT WILL ENSURE THAT THE RESIDUAL RECEIPTS ACCOUNT IS PROPERLY FUNDED IN THE FUTURE.

View Audit 314655

Finding 477955 (2023-001)

None 2023

Timberlawn Place, Inc.

TN

HUD Housing Programs Cash Management

MANAGEMENT AGREES WITH THE FINDING. THE EXCESS FUNDS WERE ACCRUED TO SUBMIT TO HUD.

View Audit 314655

Finding 477913 (2023-003)

Material Weakness 2023

Aransas Pass Housing Authority

TX

Questioned Costs HUD Housing Programs Eligibility

Views of responsible officials and planned corrective action: The Authority accepts the recommendation of the auditor. The Authority will increase oversight in the Section 8 Housing Choice Vouchers program to ensure that established internal control policies are being followed on a timely basis. Ms...

Views of responsible officials and planned corrective action: The Authority accepts the recommendation of the auditor. The Authority will increase oversight in the Section 8 Housing Choice Vouchers program to ensure that established internal control policies are being followed on a timely basis. Ms. Christina Beard will be responsible to implement this corrective action by March 31, 2024.

View Audit 314613 Questioned Costs: $1

Finding 477912 (2023-001)

Significant Deficiency 2023

Corpus Christi Housing Authority

TX

Questioned Costs HUD Housing Programs Significant Deficiency

Views of responsible officials and planned corrective action: The Authority accepts the recommendation of the auditor and will make the necessary changes to its inspection process to ensure enforcement of Housing Quality Standards (or any subsequent replacement). Rhen C. Bass, Chief Financial Office...

Views of responsible officials and planned corrective action: The Authority accepts the recommendation of the auditor and will make the necessary changes to its inspection process to ensure enforcement of Housing Quality Standards (or any subsequent replacement). Rhen C. Bass, Chief Financial Officer, is responsible for implementing this corrective action by September 30, 2024.

View Audit 314608 Questioned Costs: $1

Finding 406491 (2023-001)

Significant Deficiency 2023

Access to Independence of San Diego, Inc.

CA

HUD Housing Programs Internal Control / Segregation of Duties

We acknowledge the challenges that come with maintaining appropriate segregation of duties in a small accounting department and have implemented a new control measure to effectively mitigate the risks involved. Moving forward, the Executive Director will receive a copy of the payroll change report ...

We acknowledge the challenges that come with maintaining appropriate segregation of duties in a small accounting department and have implemented a new control measure to effectively mitigate the risks involved. Moving forward, the Executive Director will receive a copy of the payroll change report after each payroll where a change has occurred. The Executive Director will thoroughly review the report and any supporting documentation and initial it. The report will then be filed with the corresponding pay period's payroll journal entry. Additionally, the Executive Director has full access to view all historical payroll change reports within the payroll system.

View Audit 311668

Finding 406196 (2023-002)

Material Weakness 2023

Housing Authority of Lincoln County

OR

HUD Housing Programs Material Weakness Special Tests & Provisions

Views of Responsible Officials and Planned Corrective Action Plan: There is no disagreement with these findings. Management has taken steps to remedy the errors. HQS training with the Authority’s software provider and the housing staff has been scheduled. The training will be recorded for access by ...

Views of Responsible Officials and Planned Corrective Action Plan: There is no disagreement with these findings. Management has taken steps to remedy the errors. HQS training with the Authority’s software provider and the housing staff has been scheduled. The training will be recorded for access by future staff and as a reference source for current staff. The training will be incorporated into the Authority’s procedures manual.

View Audit 311601

Finding 406195 (2023-001)

Significant Deficiency 2023

Housing Authority of Lincoln County

OR

HUD Housing Programs Material Weakness Significant Deficiency

Views of Responsible Officials and Planned Corrective Action Plan: There is no disagreement with these findings. Management has taken steps to remedy the errors, such as hiring a third-party vendor to assist in the calculation and determination of utility allowances, cross-train current staff to per...

Views of Responsible Officials and Planned Corrective Action Plan: There is no disagreement with these findings. Management has taken steps to remedy the errors, such as hiring a third-party vendor to assist in the calculation and determination of utility allowances, cross-train current staff to perform other duties related to the Housing Choice Voucher program and attend additional Housing Choice Voucher trainings.

View Audit 311601

Finding 405955 (2023-001)

Significant Deficiency 2023

Bellflower Oak Street Manor 122-Ee105

CA

HUD Housing Programs Significant Deficiency Special Tests & Provisions

CORRECTIVE ACTION PLAN Name of auditee: Bellflower Oak Street Manor Name of audit firm: Propp Christensen Caniglia LLP Period covered by the audit: October 1, 2022 through September 30, 2023 CAP prepared by: Name: Sean Calendar Position: Director of Accounting Telephone: (916) 357-5300 Finding 2023-...

CORRECTIVE ACTION PLAN Name of auditee: Bellflower Oak Street Manor Name of audit firm: Propp Christensen Caniglia LLP Period covered by the audit: October 1, 2022 through September 30, 2023 CAP prepared by: Name: Sean Calendar Position: Director of Accounting Telephone: (916) 357-5300 Finding 2023-001 Comments: Management agrees with the finding. Actions: Management will implement policies and procedures to ensure the financial statements are prepared timely, to ensure timely deposits to the residual receipts reserve. Additionally, management will fund $9,912 of additional reserve deposits to make the account whole.

View Audit 311517

Finding 405945 (2023-002)

Significant Deficiency 2023

Cleveland Housing Authority

TN

HUD Housing Programs Reporting

As stated in the audit report, Cleveland Housing Authority disposed of a significant number of public housing units for the purpose of RAD conversion. Due to the conversion and disposal of assets, the FDS unaudited submission was inaccurate in the statement of assets. AN adjusting entry has been m...

As stated in the audit report, Cleveland Housing Authority disposed of a significant number of public housing units for the purpose of RAD conversion. Due to the conversion and disposal of assets, the FDS unaudited submission was inaccurate in the statement of assets. AN adjusting entry has been made to correct the inaccuracy. The individual responsible for preparing and submitting for the unaudited submission is Cleveland Housing Authority's CFO, Michael Lloyd. Mr. Llyod will review the information prior to submission to ensure that all entries are stated correctly. He will also ensure that the required unaudited submission be completed and entered into the system prior to the stated deadline. The ED will be responsible for verifying that the required deadlines are being met. We trust that this corrective action plan is sufficient to correct the audit findings for the fiscal year ending December 31, 2024.

View Audit 311505

Finding 405782 (2023-001)

Significant Deficiency 2023

Primrose Apartments, Inc.

PA

Questioned Costs HUD Housing Programs Significant Deficiency

Re: Corrective Action Plan (CAP) for Primrose Apartments, Inc. Name of Auditee: Primrose Apartments, Inc HUD Project No.: 033-EE147 Period Covered by Audit: Year Ended September 30, 2023 CAP Prepared by: Kristiann Keller Property Controlller NDC Asset Management LLC 412-578-7833 Current Findi...

Re: Corrective Action Plan (CAP) for Primrose Apartments, Inc. Name of Auditee: Primrose Apartments, Inc HUD Project No.: 033-EE147 Period Covered by Audit: Year Ended September 30, 2023 CAP Prepared by: Kristiann Keller Property Controlller NDC Asset Management LLC 412-578-7833 Current Finding on Schedule of Findings and Questioned Costs Views of Responsible Officials and Planned Corrective Action: Finding 2023-001 There is no disagreement with this audit finding. Management is in the process of communicating with the proper HUD representatives regarding the procedures required to catch up the funding of the replacement for reserve erroneously omitted during the year ended September 30, 2023. NDC Asset Management LLC will implement procedures to be followed any time a new property comes under management to ensure that any reserve for replacement required deposits are funded in a timely manner.

View Audit 311413 Questioned Costs: $1

Finding 405722 (2023-002)

None 2023

Geer Village, A Housing & Development CO - Bhe

CT

HUD Housing Programs

Finding Number: 2023-002 CFDA Number: 14.157 – Supportive Housing for the Elderly Recommendations: Periodically throughout the year management should perform a proof of the account to make sure it is correct. Management Response: The processing of Reserve Requests is usually ceased at the end of bud...

Finding Number: 2023-002 CFDA Number: 14.157 – Supportive Housing for the Elderly Recommendations: Periodically throughout the year management should perform a proof of the account to make sure it is correct. Management Response: The processing of Reserve Requests is usually ceased at the end of budget season to ensure accuracy. This error was overlooked while pending approval and execution of the new budget. A deposit will be made immediately to rectify the amount– this will be completed prior to the end of the current fiscal year.

View Audit 311391

Finding 405721 (2023-001)

None 2023

Geer Village, A Housing & Development CO - Bhe

CT

HUD Housing Programs

Finding number 2023-001 CFDA Number:14.157 – Supportive Housing for the Elderly Recommendations: When preparing reserve requests management should match invoices to the request and make sure invoices not already paid are paid timely paid after the withdrawal is made and have not been used for previo...

Finding number 2023-001 CFDA Number:14.157 – Supportive Housing for the Elderly Recommendations: When preparing reserve requests management should match invoices to the request and make sure invoices not already paid are paid timely paid after the withdrawal is made and have not been used for previous requests. Management Response: Management’s internal process for tracking and reviewing Replacement Reserve requests was revised in October 2023. The procedure now involves internal reviews of invoices by two separate parties, as well as an on-going shared tracking system for requests, prior to submission to avoid duplication.

View Audit 311391

Corrective Action Plans

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