Finding 10681 (2023-001)

Finding 2023-001: Section 8 Housing Assistance Payments (CFDA #14.195) Type of Finding: Significant Deficiency / Noncompliance Repeat Finding: Finding is not a repeat finding. Criteria: Under the Uniform Guidance, the Project is required to submit its audited statements within nine months of year-end. Condition: The Project did not submit its audited financial statements within the time frame. Cause: The Project's HUD mortgage was paid off during the fiscal year and it was anticipated that the Project would be below the $750,000 threshold. Effect or Potential Effect: The late submission could put the Project in noncompliance with HUD and decrease future funding from HUD. Perspective Information: The Project failed to submit its annual audit within the prescribed timeframe. Through prior history with Project, this is not a systemic issue that cannot be rectified. Recommendations: The Project should submit its annual financial statement audit through the clearinghouse and ensure that it remains in compliance in future years. Views of Responsible Officials: Management concurs with the finding. Management will submit its audited financial statements through the clearinghouse immediately.