FAC Explorer

Finding 1218417 (2025-001)

Material Weakness Repeat Finding
Requirement
L
Questioned Costs
-
Year
2025
Accepted
2026-06-24
Audit: 404684
Organization: Booth Residence Inc., A Georgia Corporation (GA)
Auditor: COHNREZNICK LLP

AI Summary

  • Core Issue: The Single Audit was not submitted to the FAC within the required nine-month timeframe.
  • Impacted Requirements: Compliance with FAC regulations for timely financial statement submissions.
  • Recommended Follow-Up: Management should establish procedures to ensure timely submissions to the FAC moving forward.

Finding Text

Finding No. 2025-001 - Reporting U.S. Department of Housing and Urban Development Federal Program Name: Section 202 Supportive Housing for the Elderly Assistance Listing Number: 14.157 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. Condition: The Single Audit was not submitted to the Federal Audit Clearinghouse (FAC) within nine months after the fiscal year end of the Corporation 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: Management does not have a process in place to ensure that all audits are submitted to the FAC timely. 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 Views of Responsible Officials: Management agrees with the finding and is taking steps to address the issue that caused it.

Corrective Action Plan

Project Legal Name: Booth Residence, Inc., A Georgia Corporation HUD Project No.: 061-11293 Audit Firm: CohnReznick LLP Period covered by the audit: 10/01/24-9/03/25 (day before sale) Corrective Action Plan prepared by: Name: Philip Gesner Position: Financial Project Manager, USA Southern Territory Finance Department Telephone Number: 470-816-5977 A. Current Findings on the Schedule of Findings, Questioned Costs and Recommendations 1. Finding 2025-001 a. Comments on the Finding and Each Recommendation The auditee agrees with the finding. The auditee agrees with the recommendation to implement procedures to ensure that the financial statements are submitted to the FAC in accordance with the FAC filing requirements. b. Action(s) Taken or Planned on the Finding Management agrees with the finding and notes that the property was sold on September 4, 2025 to an unrelated party, therefore we consider this finding closed and no further action required.

Categories

Reporting

Programs in Audit

ALN Program Name Expenditures
14.155 MORTGAGE INSURANCE FOR THE PURCHASE OR REFINANCING OF EXISTING MULTIFAMILY HOUSING PROJECTS $3.38M
14.195 SECTION 8 HOUSING ASSISTANCE PAYMENTS PROGRAM $935,549