Finding Text
Finding No. 2025-003; Supportive Housing for the Elderly, CFDA 14.157 Criteria In accordance with the regulatory agreement, the audited financial statements and electronic submission are required to be completed and filed with REAC within 90 days of the Corporation's fiscal year end. Condition The Corporation did not timely complete its audited financial statements and the required electronic submission to the Real Estate Assessment Center (REAC) via the Financial Assessment Subsystem, as required by HUD, related to the audited financial statements for the year ended June 30, 2024. Cause Controls were not in place to properly track the timely filing of the audited financial statements and REAC submission. Effect or Potential Effect Compliance with the requirement to timely submit the audited financial statements and REAC to HUD was not met. Context The audited financial statements and REAC submission were filed with HUD on November 22, 2024. The filing took place more than 90 days after the Corporation's fiscal year end. Repeat Finding This finding is not a repeat finding. Recommendation Management should establish procedures to ensure timely completion and submission of the audited financial statements and electronic filing with the Real Estate Assessment Center via the Financial Assessment Subsystem, within the 90 days after the fiscal year end. Auditor Noncompliance Code: Z - Other Finding Resolution Status: Resolved Views of Responsible Officials Management concurs with the finding and the auditor's recommendations have been adopted. Procedures are in place to ensure the timely filing of the audited financial statements and REAC submission with HUD.