Finding Text
Department of Housing and Urban Development Finding 2025-002 Section 8 New Construction and Substantial Rehabilitation, AL 14.182 and Section 223(f) Mortgage Insurance Program AL 14.155 Criteria The FAC requires that the annual financial statements be submitted the earlier of 30 days after the report date or nine months after the fiscal year end. Statement of Condition The Single Audit was not submitted to the Federal Audit Clearinghouse (FAC) within nine months after the fiscal year end of the Company for the year ended September 30, 2024. Cause Management does not have controls in place to timely file its financial statements with the FAC. Effect or Potential Effect Management is not in compliance with the requirement to timely submit the Single Audit to the FAC. Questioned costs: None Context Due to delays in the performance of the September 30, 2024 audit, the FAC submission was also delayed. Identification as a repeat finding: No Recommendation Management should implement procedures to ensure that the financial statements are submitted to the FAC in accordance with the FAC filing requirements. Auditor Noncompliance Code: Z - Other Finding Resolution Status: Resolved Reporting Views of Responsible Officials Management agrees with the finding and is taking steps to address the issue that caused it.