Housing Authority of the City of Arkadelphia respectfully submits the following corrective action plan for the year ended June 30, 2024.
Responsible Official: Bobbi Partain, Executive Director
Name and address of independent public accounting firm:
Miller & Rose, PA
1309 East Race
Searcy, AR 72143
Audit period: Year ended June 30, 2024
Oversight Agency: U.S. Department of Housing and Urban Development
The findings from the June 30, 2024 audit are discussed below. The findings are numbered to correspond to the auditing findings disclosed in Section C of the Schedule of Findings and Questioned Costs.
B. FINDINGS - FINANCIAL STATEMENTS AUDIT
None
C. FINDINGS AND QUESTIONED COSTS-MAJOR FEDERAL AWARD PROGRAMS AUDIT
Department of Housing and Urban Development
FALN 14.872 – Public Housing Capital Fund
2024-001 Compliance with Public Housing Capital Fund
Criteria: Capital funds transferred to operation are not considered obligated until the funds have been budgeted and drawn down. The voucher request date must occur before those funds are reported as obligated in LOCCS.
PHAs shall submit HUD-53001, Actual Modernization Cost Certificate within 90 days of the expenditure end date for each grant.
Condition: We noted two instances when capital funds transferred to operations for Capital Fund Programs (CFP) 501-20 and 501-21 were obligated before the date the funds were requisitioned from eLOCCS.
HUD-53001 was completed for CFP 501-20 on January 29, 2024, which was past the 90-day reporting period after the conclusion pf the program’s expenditures. The final expenditure on this grant was July 19, 2023.
HUD-53001 was completed for CFP 501-21 on January 23, 2025, which was past the 90-day reporting period after the conclusion of the program’s expenditures. The final expenditure on this grant was February 7, 2024.
Recommendation: The Authority should not obligate funds designated for transfers to operation until the funds have been budgeted and drawn down. We did note the funds for transfers to operations for CFP 201-22 and CFP 201-23 were properly obligated when the funds were drawn down.
The Authority should promptly complete HUD-53001 at the conclusion of a CFP program to ensure it complies with the 90-day reporting period.
Views of responsible officials and planned corrective actions: We will comply with the auditors’ recommendations.
Anticipated Completion Date: June 30, 2025