EIN: 486123252
UEI: TFZNCQYTMFM7
Audited by: PETTIT & COMPANY, LLC
Oversight agency: 14 [Department of Housing and Urban Development]
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Data as of September 7, 2026
Management decision deadline — for entities that funded this organization
The FAC accepted this audit on July 6, 2026. 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 January 6, 2027 (115 days from today).
What is a management decision? →FAC accepted this audit on August 29, 2025 — management decision was due March 1, 2026.
FAC accepted this audit on October 29, 2024 — management decision was due April 29, 2025.
Statement of condition: The Organization repaid $7,200 on a related party loan without surplus cash or HUD approval. Criteria: Activities allowed or un-allowed of the Uniform Guidance requires the Organization only spends funds on items that are necessary and reasonable for the Project’s operations. Effect or potential effect: The Organization is not in compliance with Uniform Guidance.Cause: The board of directors requested the Organization make payments on the related party loan. Recommendation: The Organization should seek reimbursement of the $7,200 paid during 2022 and the $6,000 paid during 2021 on the related party loan, or seek approval from the Department of Housing and Urban Development. Reporting views of responsible officials: Our organization is a non-profit entity. Our funds were depleted during the covid pandemic to the point our only available asset was the loan we made to Penn Manor several years ago. So we requested the loan be repaid at an amount the Manor could afford. We apologize for any wrong doing and ask for forgiveness or the error and permission to continue with the repayment so we can continue to operate. Again we do apologize and ask forgiveness.
Show full finding ▾Hide full finding ▴Statement of condition: The Organization repaid $7,200 on a related party loan without surplus cash or HUD approval. Criteria: Activities allowed or un-allowed of the Uniform Guidance requires the Organization only spends funds on items that are necessary and reasonable for the Project’s operations. Effect or potential effect: The Organization is not in compliance with Uniform Guidance.Cause: The board of directors requested the Organization make payments on the related party loan. Recommendation: The Organization should seek reimbursement of the $7,200 paid during 2022 and the $6,000 paid during 2021 on the related party loan, or seek approval from the Department of Housing and Urban Development. Reporting views of responsible officials: Our organization is a non-profit entity. Our funds were depleted during the covid pandemic to the point our only available asset was the loan we made to Penn Manor several years ago. So we requested the loan be repaid at an amount the Manor could afford. We apologize for any wrong doing and ask for forgiveness or the error and permission to continue with the repayment so we can continue to operate. Again we do apologize and ask forgiveness.
The action taken was to immediately cease the payments, and wait until there are residual funds available to repay the loan or HUD approval is granted.
2022-001
FAC accepted this audit on September 7, 2023 — management decision was due March 7, 2024.
Finding 2022-001 Allowable Costs Statement of condition: The Organization repaid $7,200 on a related party loan without surplus cash or HUD approval. Criteria: Activities allowed or un-allowed of the Uniform Guidance requires the Organization only spends funds on items that are necessary and reasonable for the Project?s operations. Effect or potential effect: The Organization is not in compliance with Uniform Guidance. Cause: The board of directors requested the Organization make payments on the related party loan. Recommendation: The Organization should seek reimbursement of the $7,200 paid during 2022 and the $6,000 paid during 2021 on the related party loan, or seek approval from the Department of Housing and Urban Development. Reporting views of responsible officials: Our organization is a non-profit entity. Our funds were depleted during the covid pandemic to the point our only available asset was the loan we made to Penn Manor several years ago. So we requested the loan be repaid at an amount the Manor could afford. We apologize for any wrong doing and ask for forgiveness or the error and permission to continue with the repayment so we can continue to operate. Again we do apologize and ask forgiveness.
Show full finding ▾Hide full finding ▴Finding 2022-001 Allowable Costs Statement of condition: The Organization repaid $7,200 on a related party loan without surplus cash or HUD approval. Criteria: Activities allowed or un-allowed of the Uniform Guidance requires the Organization only spends funds on items that are necessary and reasonable for the Project?s operations. Effect or potential effect: The Organization is not in compliance with Uniform Guidance. Cause: The board of directors requested the Organization make payments on the related party loan. Recommendation: The Organization should seek reimbursement of the $7,200 paid during 2022 and the $6,000 paid during 2021 on the related party loan, or seek approval from the Department of Housing and Urban Development. Reporting views of responsible officials: Our organization is a non-profit entity. Our funds were depleted during the covid pandemic to the point our only available asset was the loan we made to Penn Manor several years ago. So we requested the loan be repaid at an amount the Manor could afford. We apologize for any wrong doing and ask for forgiveness or the error and permission to continue with the repayment so we can continue to operate. Again we do apologize and ask forgiveness.
PENN MANOR APARTMENTS 601 S Penn Ave. Independence, KS 67301. Corrective Action Plan August 17, 2023 Penn Manor Apartments HUD Project No. 102-11030 Audit performed by Pettit & Company, LLC 3725 E. Southport Rd., Suite A Indianapolis, IN 46227 Period covered by the audit Year ended December 31, 2022 Current Findings on the Schedule of Findings, Questioned Costs, and Recommendations Finding 2022-001 Allowable Costs Statement of condition: The Organization repaid $7,200 on a related party loan without surplus cash or HUD approval. Comments on the Finding and Each Recommendation: This was a finding from prior year, and once it was brought to our attention, all payments ceased. As reported in our prior year finding, the owner's SEK Lutheran's, Inc, a non-profit organization, had no cash flow and ne?_ded the funds loaned to Penn Mam to be repaid as soon as possible. Corrective Action Planned or Taken: The action taken was to immediately cease the payments, and wait until there are residual funds available to repay the loan or HUD approval is granted. Finding 2022-002 Cash Management Statement of condition: The Project is not current on its mortgage at December 31, 2022. Comments on the Finding and Each Recommendation: The mortgage was not current in December. The managing Agent had taken a temporary leave due to a personal family issue. The agent believed the mortgage and other bill were being addressed, however, due to high vacancies and the strains from covid, there was a strain on the project's cash flow. Corrective Action Planned or Taken: We have caught up on the mortgage and continuing to stay current. We contacted our HUD Representative and have worked out a financial plan to get matters resolved and back on track. We are filing monthly reports with HUD and have also seen a decrease in our vacancies which is further helping with the finances.
2021-001
Finding 2022-002 Cash Management Statement of condition: The Project is not current on its mortgage at December 31, 2022. Criteria: Cash Management of the Uniform Guidance requires the Organization only spends funds on items that are necessary and reasonable for the Project?s operations. Effect or potential effect: The Organization is not in compliance with Uniform Guidance. Cause: The Project made payments on a related party loan when the monies used should have been used to pay the mortgage. Recommendation: The Organization should seek reimbursement of the $7,200 paid during 2022 and the $6,000 paid during 2021 on the related party loan, in order to improve its cash position. SCHEDULE OF FINDINGS AND QUESTIONED COSTS (CONTINUED) FOR THE YEAR ENDED DECEMBER 31, 2022 Section III Federal Award Findings (Continued) Finding 2022-002 Cash Management (Continued) Reporting views of responsible officials: Our organization is a non-profit entity. Our funds were depleted during the covid pandemic to the point our only available asset was the loan we made to Penn Manor several years ago. So we requested the loan be repaid at an amount the Manor could afford. We apologize for any wrong doing and ask for forgiveness or the error and permission to continue with the repayment so we can continue to operate. Again we do apologize and ask forgiveness.
Show full finding ▾Hide full finding ▴Finding 2022-002 Cash Management Statement of condition: The Project is not current on its mortgage at December 31, 2022. Criteria: Cash Management of the Uniform Guidance requires the Organization only spends funds on items that are necessary and reasonable for the Project?s operations. Effect or potential effect: The Organization is not in compliance with Uniform Guidance. Cause: The Project made payments on a related party loan when the monies used should have been used to pay the mortgage. Recommendation: The Organization should seek reimbursement of the $7,200 paid during 2022 and the $6,000 paid during 2021 on the related party loan, in order to improve its cash position. SCHEDULE OF FINDINGS AND QUESTIONED COSTS (CONTINUED) FOR THE YEAR ENDED DECEMBER 31, 2022 Section III Federal Award Findings (Continued) Finding 2022-002 Cash Management (Continued) Reporting views of responsible officials: Our organization is a non-profit entity. Our funds were depleted during the covid pandemic to the point our only available asset was the loan we made to Penn Manor several years ago. So we requested the loan be repaid at an amount the Manor could afford. We apologize for any wrong doing and ask for forgiveness or the error and permission to continue with the repayment so we can continue to operate. Again we do apologize and ask forgiveness.
PENN MANOR APARTMENTS 601 S Penn Ave. Independence, KS 67301. Corrective Action Plan August 17, 2023 Penn Manor Apartments HUD Project No. 102-11030 Audit performed by Pettit & Company, LLC 3725 E. Southport Rd., Suite A Indianapolis, IN 46227 Period covered by the audit Year ended December 31, 2022 Current Findings on the Schedule of Findings, Questioned Costs, and Recommendations Finding 2022-001 Allowable Costs Statement of condition: The Organization repaid $7,200 on a related party loan without surplus cash or HUD approval. Comments on the Finding and Each Recommendation: This was a finding from prior year, and once it was brought to our attention, all payments ceased. As reported in our prior year finding, the owner's SEK Lutheran's, Inc, a non-profit organization, had no cash flow and ne?_ded the funds loaned to Penn Mam to be repaid as soon as possible. Corrective Action Planned or Taken: The action taken was to immediately cease the payments, and wait until there are residual funds available to repay the loan or HUD approval is granted. Finding 2022-002 Cash Management Statement of condition: The Project is not current on its mortgage at December 31, 2022. Comments on the Finding and Each Recommendation: The mortgage was not current in December. The managing Agent had taken a temporary leave due to a personal family issue. The agent believed the mortgage and other bill were being addressed, however, due to high vacancies and the strains from covid, there was a strain on the project's cash flow. Corrective Action Planned or Taken: We have caught up on the mortgage and continuing to stay current. We contacted our HUD Representative and have worked out a financial plan to get matters resolved and back on track. We are filing monthly reports with HUD and have also seen a decrease in our vacancies which is further helping with the finances.
FAC accepted this audit on October 31, 2022 — management decision was due May 1, 2023.
Section III Federal Award Findings Finding 2021-001 Statement of condition: The Organization repaid $6,000 on a related party loan without surplus cash or HUD approval. Criteria: Activities allowed or un-allowed of the Uniform Guidance requires the Organization only spends funds on items that are necessary and reasonable for the Project?s operations. Effect or potential effect: The Organization is not in compliance with Uniform Guidance. Cause: The board of directors requested the Organization make a payment on the related party loan. Recommendation: The Organization should seek reimbursement of the $6,000 paid on the related party loan, or seek approval from the Department of Housing and Urban Development. Reporting views of responsible officials: Our organization is a non-profit entity. Our funds were depleted during the covid pandemic to the point our only available asset was the loan we made to Penn Manor several years ago. So we requested the loan be repaid at an amount the Manor could afford. We apologize for any wrong doing and ask for forgiveness or the error and permission to continue with the repayment so we can continue to operate. Again we do apologize and ask forgiveness.
Show full finding ▾Hide full finding ▴Section III Federal Award Findings Finding 2021-001 Statement of condition: The Organization repaid $6,000 on a related party loan without surplus cash or HUD approval. Criteria: Activities allowed or un-allowed of the Uniform Guidance requires the Organization only spends funds on items that are necessary and reasonable for the Project?s operations. Effect or potential effect: The Organization is not in compliance with Uniform Guidance. Cause: The board of directors requested the Organization make a payment on the related party loan. Recommendation: The Organization should seek reimbursement of the $6,000 paid on the related party loan, or seek approval from the Department of Housing and Urban Development. Reporting views of responsible officials: Our organization is a non-profit entity. Our funds were depleted during the covid pandemic to the point our only available asset was the loan we made to Penn Manor several years ago. So we requested the loan be repaid at an amount the Manor could afford. We apologize for any wrong doing and ask for forgiveness or the error and permission to continue with the repayment so we can continue to operate. Again we do apologize and ask forgiveness.
601 S. PENN AVE INDEPENDENCE, KS 67301 (620)-331-8010 Phone (620)-577-4461 FIil!. Penn Manor Apartments (the "Organization") respectfully submits the following corrective action plan ("CAP") for the year ended December 31, 2021. Independent Public Accounting Firm Pettit CPAs 3725 E. Southport Rd., Suite A Indianapolis, IN 46227 Audit Period Year ended December 31, 2021 The findings from the December 31, 2021 schedule of findings and questioned costs are discussed below. The findings are numbered consistently with the numbers assigned in the schedule.
FAC accepted this audit on July 7, 2021 — management decision was due January 7, 2022.
FAC accepted this audit on September 7, 2020 — management decision was due March 7, 2021.
FAC accepted this audit on August 21, 2019 — management decision was due February 21, 2020.
FAC accepted this audit on September 30, 2018 — management decision was due March 30, 2019.
FAC accepted this audit on October 9, 2017 — management decision was due April 9, 2018.
Data source: This information comes from the Federal Audit Clearinghouse, the official repository of Single Audit data. All data is public domain. Verify this organization's audit history at fac.gov.
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