FAC Explorer

Finding 513873 (2024-001)

-
Requirement
B
Questioned Costs
$1
Year
2024
Accepted
2024-12-11
Audit: 331889
Organization: Dickinson Senior Housing, Inc. (MN)
Auditor: Baker Meinz & Associates LTD

AI Summary

  • Core Issue: A payment of $480 was made for an expense related to another project, violating compliance rules.
  • Impacted Requirements: The Project must only pay its own expenses, not those of other projects under common management.
  • Recommended Follow-Up: Review and verify invoices before payment to ensure compliance; accounts payable staff will receive reminders to prevent future errors.

Finding Text

C. Findings and Questioned Costs - Major Federal Award Programs Audit DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT FINDING 2024-001: SECTION 202, ASSISTANCE LISTING NUMBER 14.157 Condition: In 1 of 25 cash disbursements tested, the Project paid the expense of another project under common management. Criteria: The Project should not pay the expenses of another project. Effect: The amount of the expense incorrectly paid was $480 out of a total sample of disbursements of $49,006. Context: A sample of disbursements was selected for testing of compliance. The test found one disbursement that was not in compliance. The non compliances had a financial effect outlined below. The details and results of the sample are as follows: Population - 182, $144,503; Sample - 25, $49,006; Not in Compliance - 1, $480; Questioned Costs - $480; Cause: The Project mistakenly paid the invoice of another project under common management. Recommendation: The Project should carefully review invoices before payment to make sure it only pays the proper amount. Views of Responsible Officials and Planned Corrective Actions: The Project agrees with the finding. The accounts payable staff will be reminded to be careful when entering invoices for payment. Total-Department of Housing and Urban Development - $480; Non-compliance code - R

Corrective Action Plan

Dickinson Senior Housing, Inc. respectfully submits the following corrective action plan for the year ended June 30, 2024: Name and address of independent public accounting firm: Baker Meinz & Associates, Ltd. 1000 Shelard Parkway, Suite 110 Minneapolis, MN 55426 Audit Period: June 30, 2024 The finding from the June 30, 2024 schedule of findings and questioned costs is discussed below. The finding is numbered consistently with the number assigned in the schedule. Section A of the schedule, Summary of Audit Results, does not include findings and is not addressed. FINDINGS - FINANCIAL STATEMENT AUDIT - None, FINDINGS - FEDERAL AWARD PROGRAMS AUDIT- DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT FINDING 2024-001: SECTION 202, ASSISTANCE LISTING NUMBER 14.157 Condition: In 1 of 25 cash disbursements tested, the Project paid the expense of another project under common management. Recommendation: The Project should carefully review invoices before payment to make sure it only pays the proper amount. Action taken: The Project agrees with the finding. The accounts payable staff will be reminded to be careful when entering invoices for payment. The finding was corrected in July 2024. If the Department of Housing and Urban Development has questions regarding these plans, please call Ling Han at 651-757-3038.

Categories

Questioned Costs

Other Findings in this Audit

Programs in Audit

ALN Program Name Expenditures
14.157 Supportive Housing for the Elderly $60,674