Finding 605584 (2022-001)

Significant Deficiency Repeat Finding
Requirement
C
Questioned Costs
$1
Year
2022
Accepted
2023-06-25

AI Summary

  • Audit Outcome: The financial statements received an unmodified report, but there are significant deficiencies in internal controls, noted as Finding 2022-001.
  • Compliance Issues: No material noncompliance was found, but there are required disclosures related to the Capital Advance program.
  • Next Steps: Address Finding 2022-001 regarding Replacement Reserve Deposits, which is currently in process and has been identified as a repeat issue.

Finding Text

1. Summary of auditors' results (i) Type of report issued on the financial statements: Unmodified (ii) Internal control over financial reporting: Material weaknesses identified? No Significant deficiencies identified? Yes, Finding 2022-001 (iii) Noncompliance material to the financial statements noted? No (iv) Internal control over major federal programs: Material weaknesses identified? No Significant deficiencies identified? Yes, Finding 2022-001 (v) Type of report issued on compliance for major programs: Unmodified opinion. (vi) Any audit findings disclosed that are required to be reported in accordance with 2 CFR 200.516(a)? Yes (vii) Major program: Section 202 Capital Advance ALN: 14.157 (viii) Dollar threshold used for distinguishing Types A and B programs: $750,000 (ix) Auditee qualified as a low-risk auditee? No 2. Findings required to be reported in accordance with generally accepted government auditing standards 2022-001: Capital Advance ALN: 14.157 ? Replacement Reserve Deposits ? Finding Resolution Status: In Process ? Information on Universe Population Size: Twelve monthly deposits ? Sample Size Information: Twelve ? Identification of Repeat Finding and Finding Reference Number: 2021-001 ? Criteria: Under the Capital Advance agreement, HUD requires monthly deposits to the replacement reserve account for future capital expenditures.

Categories

Questioned Costs HUD Housing Programs Material Weakness Reporting Internal Control / Segregation of Duties

Other Findings in this Audit

  • 29142 2022-001
    Significant Deficiency Repeat

Programs in Audit

ALN Program Name Expenditures
14.157 Supportive Housing for the Elderly $2.17M
14.195 Section 8 Housing Assistance Payments Program $67,618