Finding 401758 (2023-002)

Material Weakness

Requirement

Questioned Costs

Year

2023

Accepted

2024-06-24

Audit: 309684

Organization: Lutheran Sunset Ministries (TX)

Auditor: Wipfli LLP

AI Summary

Answer: The Organization failed to grasp the compliance rules for audits related to Community Facilities loans over $750,000.
Trend: This oversight indicates a broader issue with understanding federal compliance requirements.
List: Recommend training on compliance requirements and a review of all loans to ensure proper audit procedures are followed.

Finding Text

The Organization did not understand the compliance requirements set forth by the Office of Management and Budget which requires all organizations with a Community Facilities (CF) loan with an outstanding loan balance greater then $750,000 to require an audit under 2 CFR Subpart F.

Corrective Action Plan

Management agrees with the assessment and subsequent to year end, steps were taken to prevent reoccurrence.

Other Findings in this Audit

978200 2023-002

Material Weakness

Programs in Audit

ALN	Program Name	Expenditures
10.766	Community Facilities Loans and Grants	$5.04M