FAC Explorer

Finding 366673 (2023-002)

Significant Deficiency
Requirement
L
Questioned Costs
-
Year
2023
Accepted
2024-02-08
Audit: 289596
Organization: Brighton Beach Housing Decvelopment Fund CO Inc. (NY)
Auditor: Cohnreznick LLP

AI Summary

  • Answer: Significant adjustments were needed for accurate financial statements.
  • Trend: This indicates ongoing issues with accounting practices that may affect reliability.
  • List: Follow up on the adjustments and review accounting processes for compliance with GAAP.

Finding Text

The accounting records required numerous material adjustments to be proposed and recorded in order for the financial statements to be fairly presented in accordance with generally accepted accounting principles in the United States of America.

Corrective Action Plan

The condition noted was due to improper set up of the general ledger system in which automatic journal entries were generated that incorrectly posted cash receipts as deferred income creating difficulty in reconciling tenant receivable balances. We are collaborating with a third-party consultant to correct this issue and will have the condition corrected by June 30, 2024.

Categories

No categories assigned yet.

Other Findings in this Audit

  • 366674 2023-002
    Significant Deficiency
  • 943115 2023-002
    Significant Deficiency
  • 943116 2023-002
    Significant Deficiency

Programs in Audit

ALN Program Name Expenditures
14.155 Mortgage Insurance for the Purchase Or Refinancing of Existing Multifamily Housing Projects $30.48M
14.856 Assistance Program_section 8 Moderate $3.18M