Finding 1088742 (2024-007)

Material Weakness Repeat Finding
Requirement
L
Questioned Costs
-
Year
2024
Accepted
2024-11-26

AI Summary

  • Core Issue: The Authority failed to submit required year-end reports on time, leading to material noncompliance.
  • Impacted Requirements: Reports Form RD 3560-7, Form RD 3560-10, and Attachment 4-F must be submitted within 90 days after the project year ends.
  • Recommended Follow-Up: Implement a procedure to ensure timely report completion and maintain submission records.

Finding Text

Finding 2024-007: Year End Reporting Rural Rental Housing Loan - 10.415, Rural Rental Housing Assistance – 10.427 Repeat Finding 2023-007 Noncompliance/Material Weakness Criteria: The Authority is responsible for completing and submitting Form RD 3560-7, Form RD 3560-10 and Attachment 4-F, Performance Standards Borrower Self-Certification Letter, within 90 days following the close of the project year end. Condition: We had requested copies of Form RD 3560-7, Form RD 3560-10 and Attachment 4-F for the yead ended March 31, 2024 and was unable to provide evidence that they were submitted and as a result we were unable to test the figures submitted. Cause: The Authority was unable to document that the reports were filed. Effect or Potential Effect: The Authority was in material noncompliance with U.S.D.A. Rural Development reporting requirements. Recommendation: The Authority should establish a procedure to complete the reports within the required timeframe and maintain records of what was submitted. View of the Responsible Officials of the Auditee: The auditee’s management agrees with the finding.

Categories

Material Weakness Reporting Matching / Level of Effort / Earmarking

Other Findings in this Audit

  • 512298 2024-008
    - Repeat
  • 512299 2024-006
    Material Weakness Repeat
  • 512300 2024-007
    Material Weakness Repeat
  • 512301 2024-007
    Material Weakness
  • 1088740 2024-008
    - Repeat
  • 1088741 2024-006
    Material Weakness Repeat
  • 1088743 2024-007
    Material Weakness

Programs in Audit

ALN Program Name Expenditures
10.415 Rural Rental Housing Loans $365,042
14.871 Section 8 Housing Choice Vouchers $244,154
14.850 Public and Indian Housing $174,866
14.872 Public Housing Capital Fund $105,793
10.427 Rural Rental Assistance Payments $60,465