Finding 498204 (2023-002)

Significant Deficiency

Requirement

Questioned Costs

Year

2023

Accepted

2024-09-25

Audit: 320969

Organization: Mt. Sinai Manor (LA)

Auditor: Wharton CPA LLC

AI Summary

Issue: The owner failed to submit the required financial statement to HUD.
Requirements Impacted: Annual financial statements must follow GAAP and be submitted electronically within specified deadlines.
Follow-Up: Ensure the owner complies with HUD requirements moving forward.

Finding Text

Condition: The owner did not meet the HUD financial reporting requirement. Criteria: According to HUD’s Uniform Financial Reporting Standards rule, annually, an owner is required to submit a financial statement, prepared in accordance with generally accepted accounting principles (GAAP), in the electronic format specified by HUD. The unaudited financial statement is due three months after the owner’s fiscal year end and the audited financial statement is due nine months after its fiscal year-end (24 CFR section 5.801). The financial statement must include the financial activities of this program. Cause: The cause is undeterminable. Effect: The Project is not compliant with HUD program requirements. Recommendation: I recommend the owner meet HUD program requirements.

Corrective Action Plan

We will ensure that going forward, processes are in place to allow for the timely submission of the financial reporting requirements. Further, we request that this finding be removed as the late filing occurred in 2024 and should be given in 2024 pursuant to AU-C 935.

Other Findings in this Audit

498203 2023-001

Significant Deficiency
1074645 2023-001

Significant Deficiency
1074646 2023-002

Significant Deficiency

Programs in Audit

ALN	Program Name	Expenditures
14.157	Supportive Housing for the Elderly	$4.16M
14.195	Section 8 Housing Assistance Payments Program	$275,429