EIN: 237007367
UEI: NTZ1NXPQSR24
Audited by: Hicks & Associates CPAs, PLLC
Oversight agency: 14 [Department of Housing and Urban Development]
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Data as of August 28, 2026
Management decision deadline — for entities that funded this organization
The FAC accepted this audit on June 29, 2025. Under 2 CFR 200.521(d), a pass-through entity that provided federal funds to this organization for this audit period must issue a management decision on these findings by December 29, 2025 (243 days ago).
What is a management decision? →FAC accepted this audit on September 16, 2024 — management decision was due March 16, 2025.
FAC accepted this audit on October 17, 2023 — management decision was due April 17, 2024.
2023-001 Residual Receipts Deposits CONDITION: Residual receipts deposit was not deposited into an interest-bearing bank account. CRITERIA: The Project is required to deposit residual receipts with the mortgagee, or other HUD-approved depository, in an interest-bearing bank account. EFFECT: The Project is not in compliance with award requirements. CONTEXT: Surplus cash at January 31, 2022 was appropriately deposited into a HUD-approved account. However, the Project failed to deposit the funds into an interest-bearing account. CAUSE: The Project was unaware that the funds needed to be deposited into an interest-bearing account. RECOMMENDATION: The Project should contact the bank and transfer the funds into a HUD-approved interest-bearing account. In addition, the account should not be subject to monthly service charges or fees. VIEWS OF RESPONSIBLE OFFICIALS AND PLANNED CORRECTIVE ACTIONS: Management acknowledges the finding and has contacted the bank to make the appropriate changes. As of May 2, 2023, the bank has confirmed that fees will no longer be charged to the account and the process of transitioning to an interest-bearing account is in-process. 2023-001 Residual Receipts Deposits CONDITION: Residual receipts deposit was not deposited into an interest-bearing bank account. CRITERIA: The Project is required to deposit residual receipts with the mortgagee, or other HUD-approved depository, in an interest-bearing bank account. EFFECT: The Project is not in compliance with award requirements. CONTEXT: Surplus cash at January 31, 2022 was appropriately deposited into a HUD-approved account. However, the Project failed to deposit the funds into an interest-bearing account. CAUSE: The Project was unaware that the funds needed to be deposited into an interest-bearing account. RECOMMENDATION: The Project should contact the bank and transfer the funds into a HUD-approved interest-bearing account. In addition, the account should not be subject to monthly service charges or fees. VIEWS OF RESPONSIBLE OFFICIALS AND PLANNED CORRECTIVE ACTIONS: Management acknowledges the finding and has contacted the bank to make the appropriate changes. As of May 2, 2023, the bank has confirmed that fees will no longer be charged to the account and the process of transitioning to an interest-bearing account is in-process.
Show full finding ▾Hide full finding ▴2023-001 Residual Receipts Deposits CONDITION: Residual receipts deposit was not deposited into an interest-bearing bank account. CRITERIA: The Project is required to deposit residual receipts with the mortgagee, or other HUD-approved depository, in an interest-bearing bank account. EFFECT: The Project is not in compliance with award requirements. CONTEXT: Surplus cash at January 31, 2022 was appropriately deposited into a HUD-approved account. However, the Project failed to deposit the funds into an interest-bearing account. CAUSE: The Project was unaware that the funds needed to be deposited into an interest-bearing account. RECOMMENDATION: The Project should contact the bank and transfer the funds into a HUD-approved interest-bearing account. In addition, the account should not be subject to monthly service charges or fees. VIEWS OF RESPONSIBLE OFFICIALS AND PLANNED CORRECTIVE ACTIONS: Management acknowledges the finding and has contacted the bank to make the appropriate changes. As of May 2, 2023, the bank has confirmed that fees will no longer be charged to the account and the process of transitioning to an interest-bearing account is in-process. 2023-001 Residual Receipts Deposits CONDITION: Residual receipts deposit was not deposited into an interest-bearing bank account. CRITERIA: The Project is required to deposit residual receipts with the mortgagee, or other HUD-approved depository, in an interest-bearing bank account. EFFECT: The Project is not in compliance with award requirements. CONTEXT: Surplus cash at January 31, 2022 was appropriately deposited into a HUD-approved account. However, the Project failed to deposit the funds into an interest-bearing account. CAUSE: The Project was unaware that the funds needed to be deposited into an interest-bearing account. RECOMMENDATION: The Project should contact the bank and transfer the funds into a HUD-approved interest-bearing account. In addition, the account should not be subject to monthly service charges or fees. VIEWS OF RESPONSIBLE OFFICIALS AND PLANNED CORRECTIVE ACTIONS: Management acknowledges the finding and has contacted the bank to make the appropriate changes. As of May 2, 2023, the bank has confirmed that fees will no longer be charged to the account and the process of transitioning to an interest-bearing account is in-process.
Recommendation: The Project should contact the bank and transfer the funds into a HUD-approved interest-bearing account. In addition, the account should not be subject to monthly service charges or fees. Action Taken: Management acknowledges the finding and has already addressed the issues with the bank. The funds have been placed in an interest-bearing bank account and will no longer be subject to monthly fees.
FAC accepted this audit on October 23, 2022 — management decision was due April 23, 2023.
FEDERAL AWARD FINDINGS: 2022-001 Residual Receipts Deposits CONDITION: Required end of year deposit to the residual receipts reserve was not made 60 days following the year end. CRITERIA: The Project is required to make a deposit to the residual receipts reserve based upon the amount computed in the surplus cash calculation. EFFECT: The Project is not in compliance with award requirements. CONTEXT: Surplus cash at January 31, 2022 was recalculated as part of the audit once all adjusting journal entries had been approved and made. One of the adjusting journal entries included accruing a receivable for back due tenant subsidies from July 2021 to January 2022 that were outstanding as of January 31, 2022. The additional subsidies were awarded based on the results of a rent comparability study that was performed during the year under audit. The inclusion of this receivable for additional tenant subsidies drastically changed the surplus cash computation, taking the Project from a significant cash deficit to a cash surplus. CAUSE: The Project was unable to make the required surplus cash deposit within 60 days because the surplus was a result of back due subsidies that were not received until April 2022 (after the 60-day deadline had passed). The Project did not have the required funds available to make the deposit before these funds were received in April 2022. RECOMMENDATION: The finding was a result of an unusual situation regarding tenant subsidies, and the timing of when those subsidies were received. Furthermore, the Project has not had any prior compliance issues with surplus cash deposits. Accordingly, based on the facts and circumstances listed above and our discussions with the Project?s HUD account executive, we have no recommendations for this finding. VIEWS OF RESPONSIBLE OFFICIALS AND PLANNED CORRECTIVE ACTIONS: Management acknowledges the finding, but believes it was the result of unfortunate timing surrounding an unusual situation. Accordingly, management concludes that corrective action is not necessary and does not expect this situation to arise again in the future.
Show full finding ▾Hide full finding ▴FEDERAL AWARD FINDINGS: 2022-001 Residual Receipts Deposits CONDITION: Required end of year deposit to the residual receipts reserve was not made 60 days following the year end. CRITERIA: The Project is required to make a deposit to the residual receipts reserve based upon the amount computed in the surplus cash calculation. EFFECT: The Project is not in compliance with award requirements. CONTEXT: Surplus cash at January 31, 2022 was recalculated as part of the audit once all adjusting journal entries had been approved and made. One of the adjusting journal entries included accruing a receivable for back due tenant subsidies from July 2021 to January 2022 that were outstanding as of January 31, 2022. The additional subsidies were awarded based on the results of a rent comparability study that was performed during the year under audit. The inclusion of this receivable for additional tenant subsidies drastically changed the surplus cash computation, taking the Project from a significant cash deficit to a cash surplus. CAUSE: The Project was unable to make the required surplus cash deposit within 60 days because the surplus was a result of back due subsidies that were not received until April 2022 (after the 60-day deadline had passed). The Project did not have the required funds available to make the deposit before these funds were received in April 2022. RECOMMENDATION: The finding was a result of an unusual situation regarding tenant subsidies, and the timing of when those subsidies were received. Furthermore, the Project has not had any prior compliance issues with surplus cash deposits. Accordingly, based on the facts and circumstances listed above and our discussions with the Project?s HUD account executive, we have no recommendations for this finding. VIEWS OF RESPONSIBLE OFFICIALS AND PLANNED CORRECTIVE ACTIONS: Management acknowledges the finding, but believes it was the result of unfortunate timing surrounding an unusual situation. Accordingly, management concludes that corrective action is not necessary and does not expect this situation to arise again in the future.
VIEWS OF RESPONSIBLE OFFICIALS AND PLANNED CORRECTIVE ACTIONS: Management acknowledges the finding, but believes it was the result of unfortunate timing surrounding an unusual situation. Accordingly, management concludes that corrective action is not necessary and does not expect this situation to arise again in the future.
FAC accepted this audit on July 8, 2021 — management decision was due January 8, 2022.
FAC accepted this audit on November 15, 2020 — management decision was due May 15, 2021.
FAC accepted this audit on July 18, 2019 — management decision was due January 18, 2020.
FAC accepted this audit on July 12, 2018 — management decision was due January 12, 2019.
FAC accepted this audit on August 6, 2017 — management decision was due February 6, 2018.
FAC accepted this audit on August 10, 2016 — management decision was due February 10, 2017.
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