EIN: 566000564
UEI: ZCH6TZ7W1XQ1
Audited by: Rubino & Company, Chartered
Oversight agency: 14 [Department of Housing and Urban Development]
View federal awards & risk assessment →
Data as of September 2, 2026
Management decision deadline — for entities that funded this organization
The FAC accepted this audit on September 30, 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 March 30, 2026 (161 days ago).
What is a management decision? →The Authority did not have adequate controls over the obligation process, resulting in Capital Funds obligated in HUD’s eLOCCS without obligating the funds. Context: The Authority had two Capital Fund grants with obligation deadlines during the year, and neither had the proper documentation. Effect: The Authority did not appropriately obligate the CFP funds by the deadline. Cause: The Authority did not have the appropriate controls over the obligation process to obligate the funds by the deadline. Repeat Finding: This is a repeat finding. Recommendation: The Authority should review and enhance its policies, procedures, and internal controls to ensure that funds are obligated in a timely manner. Views of Responsible Officials: The Authority agrees with the finding.
Show full finding ▾Hide full finding ▴Finding No. 2024-001: Obligation Requirement for Capital Fund Program Drawdowns (Significant Deficiency Federal Agency: U.S. Department of Housing and Urban Development Federal Program Title: Public Housing Capital Fund Federal Assistance Listing Number: 14.872 Compliance Requirement: Period of Performance Criteria: Per HUD regulations, Capital Fund Program costs are required to be obligated within 24 months of the execution of the grant with documentation showing the funds were truly obligated. Condition: The Authority did not have adequate controls over the obligation process, resulting in Capital Funds obligated in HUD’s eLOCCS without obligating the funds. Context: The Authority had two Capital Fund grants with obligation deadlines during the year, and neither had the proper documentation. Effect: The Authority did not appropriately obligate the CFP funds by the deadline. Cause: The Authority did not have the appropriate controls over the obligation process to obligate the funds by the deadline. Repeat Finding: This is a repeat finding. Recommendation: The Authority should review and enhance its policies, procedures, and internal controls to ensure that funds are obligated in a timely manner. Views of Responsible Officials: The Authority agrees with the finding.
Finding No. 2024-001: Obligation Requirement for Capital Fund Program Drawdowns (Significant Deficiency Corrective Action Plan: NBHA has reviewed its internal controls regarding the obligation requirement for CFP LOCCS and will implement additional monitoring procedures to ensure timely obligation of funds. This includes developing a tracking spreadsheet and assigning a staff member to review obligations quarterly. The Executive Director will receive quarterly reports to ensure compliance going forward. Responsible Person: Reginal Barner, Executive Director Expected Completion Date: December 31, 2025
2023-002
The Authority did not have adequate controls over the reporting process, resulting in an AMCC and HUD 50075.1 not being submitted on time. Context: The Authority had one Capital Fund grant with an obligation deadline during the year, and one Capital Fund grant awarded during the year. The corresponding AMCC and HUD 50075.1 reports were not submitted on time. Effect: The Authority did not appropriately report CFP grant activity by the required deadlines. Cause: The Authority did not have the appropriate controls over the reporting process to submit the reports by the deadlines. Repeat Finding: This is not a repeat finding. Recommendation: The Authority should review and enhance its policies, procedures, and internal controls to ensure that reports are submitted in a timely manner. Views of Responsible Officials: The Authority agrees with the finding
Show full finding ▾Hide full finding ▴Finding No. 2024-002: Failure to Submit CFP Reports on Time (Significant Deficiency) Federal Agency: U.S. Department of Housing and Urban Development Federal Program Title: Public Housing Capital Fund Federal Assistance Listing Number: 14.872 Compliance Requirement: Reporting Criteria: Per HUD regulations, Public Housing Authorities (PHAs) are required to submit an Actual Modernization Cost Certificate within 90 days after the expenditure end date of a CFP grant. Per HUD regulations, PHAs are required to submit an initial Annual Statement Performance and Evaluation Report (HUD 50075.1) prior to the CFP award date. Condition: The Authority did not have adequate controls over the reporting process, resulting in an AMCC and HUD 50075.1 not being submitted on time. Context: The Authority had one Capital Fund grant with an obligation deadline during the year, and one Capital Fund grant awarded during the year. The corresponding AMCC and HUD 50075.1 reports were not submitted on time. Effect: The Authority did not appropriately report CFP grant activity by the required deadlines. Cause: The Authority did not have the appropriate controls over the reporting process to submit the reports by the deadlines. Repeat Finding: This is not a repeat finding. Recommendation: The Authority should review and enhance its policies, procedures, and internal controls to ensure that reports are submitted in a timely manner. Views of Responsible Officials: The Authority agrees with the finding
Finding No. 2024-002: Failure to Submit CFP Reports on Time (Significant Deficiency) Corrective Action Plan: NBHA acknowledges the late submission of the AMCCs and the Annual Performance and Evaluation Report. To prevent recurrence, NBHA will create a compliance calendar with submission deadlines and designate a staff member responsible for monitoring all reporting requirements. The Executive Director will review compliance status monthly to ensure all reports are completed and submitted on time. Responsible Person: Reginal Barner, Executive Director Expected Completion Date: December 31, 2025 39
FAC accepted this audit on September 30, 2024 — management decision was due March 30, 2025.
The Authority did not have adequate controls over the payroll process, resulting in an employee authorizing excess salary disbursements in an act of fraudulent theft. Context: Costs are considered allowable assuming they are reasonable for the performance of the federal program and are approved by an authorized official. Effect: The Authority allowed for employee to disburse excess salary in an act of fraudulent theft. Cause: The Authority did not have the appropriate controls over the payroll process to prevent and/or detect fraud in a timely manner. Questioned Costs: $18,931 Recommendation: The Authority should review and enhance its policies, procedures, and internal controls to ensure that fraud is prevented and/or detected in a timely manner. Views of Responsible Officials: The Authority agrees with the finding.
Show full finding ▾Hide full finding ▴Finding No. 2023-001: Fraudulent Payroll Activities Resulting in Theft (Material Weakness) Federal Agency: U.S. Department of Housing and Urban Development Federal Program Title: Capital Fund Program Federal Assistance Listing Number: 14.872 Compliance Requirement: Allowable Costs Criteria: The Authority should maintain appropriate controls over the payroll process to prevent and/or detect fraud in a timely manner. Condition: The Authority did not have adequate controls over the payroll process, resulting in an employee authorizing excess salary disbursements in an act of fraudulent theft. Context: Costs are considered allowable assuming they are reasonable for the performance of the federal program and are approved by an authorized official. Effect: The Authority allowed for employee to disburse excess salary in an act of fraudulent theft. Cause: The Authority did not have the appropriate controls over the payroll process to prevent and/or detect fraud in a timely manner. Questioned Costs: $18,931 Recommendation: The Authority should review and enhance its policies, procedures, and internal controls to ensure that fraud is prevented and/or detected in a timely manner. Views of Responsible Officials: The Authority agrees with the finding.
Finding No. 2023-001: Fraudulent Payroll Activities Resulting in Theft (Material Weakness) Person Responsible: Reginal Barner Date of Completion: 12/31/2024 Corrective Action Plan: Our fee accountant and payroll consultant will access the payroll process and implement corrective actions, including adding internal controls and training.
The Authority did not have adequate controls over the obligation process, resulting in Capital Funds obligated in HUD’s eLOCCS without obligating the funds. Context: The Authority had two Capital Fund grants with obligation deadlines during the year, and both did not have the proper documentation. Effect: The Authority did not appropriately obligate the CFP funds by the deadline. Cause: The Authority did not have the appropriate controls over the obligation process to obligate the funds by the deadline. Recommendation: The Authority should review and enhance its policies, procedures, and internal controls to ensure that funds are obligated in a timely manner. Views of Responsible Officials: The Authority agrees with the finding.
Show full finding ▾Hide full finding ▴Finding No. 2023-002: Obligation Requirement for Capital Fund Program Drawdowns (Significant Deficiency Federal Agency: U.S. Department of Housing and Urban Development Federal Program Title: Capital Fund Program Federal Assistance Listing Number: 14.872 Compliance Requirement: Special Tests and Provisions Criteria: Per HUD regulations, Capital Fund Program costs are required to be obligated within 24 months of the execution of the grant with documentation showing the funds were truly obligated. Condition: The Authority did not have adequate controls over the obligation process, resulting in Capital Funds obligated in HUD’s eLOCCS without obligating the funds. Context: The Authority had two Capital Fund grants with obligation deadlines during the year, and both did not have the proper documentation. Effect: The Authority did not appropriately obligate the CFP funds by the deadline. Cause: The Authority did not have the appropriate controls over the obligation process to obligate the funds by the deadline. Recommendation: The Authority should review and enhance its policies, procedures, and internal controls to ensure that funds are obligated in a timely manner. Views of Responsible Officials: The Authority agrees with the finding.
Finding No. 2023-002: Obligation Requirement for Capital Fund Program Drawdowns (Significant Deficiency Person Responsible: Reginal Barner Date of Completion: 12/31/2024 Corrective Action Plan: Our fee accountant will access the capital fund obligation and treasury process and implement corrective actions, including adding internal controls and training.
The Authority did not have adequate controls over the procurement process, resulting in missing procurement documentation. Context: The Authority had three new contracts entered into during year; we reviewed two and identified missing procurement documentation. Effect: The Authority did not procure goods and services properly under the required regulations. Cause: The Authority did not have the appropriate controls over the procurement process to maintain proper documentation. Recommendation: The Authority should review and enhance its policies, procedures, and internal controls to ensure that the procurement process includes the required documentation. Views of Responsible Officials: The Authority agrees with the finding.
Show full finding ▾Hide full finding ▴Finding No. 2023-003: Missing Procurement Documentation (Significant Deficiency) Federal Agency: U.S. Department of Housing and Urban Development Federal Program Title: Capital Fund Program Federal Assistance Listing Number: 14.872 Compliance Requirement: Procurement Criteria: Per HUD regulations, the Authority is required to follow 2 CFR regulations on procuring goods and services. Condition: The Authority did not have adequate controls over the procurement process, resulting in missing procurement documentation. Context: The Authority had three new contracts entered into during year; we reviewed two and identified missing procurement documentation. Effect: The Authority did not procure goods and services properly under the required regulations. Cause: The Authority did not have the appropriate controls over the procurement process to maintain proper documentation. Recommendation: The Authority should review and enhance its policies, procedures, and internal controls to ensure that the procurement process includes the required documentation. Views of Responsible Officials: The Authority agrees with the finding.
Finding No. 2023-003: Missing Procurement Documentation (Significant Deficiency) Person Responsible: Reginal Barner Date of Completion: 12/31/2024 Corrective Action Plan: The agency will assess the procurement process and implement internal controls where necessary.
FAC accepted this audit on September 28, 2023 — management decision was due March 28, 2024.
FAC accepted this audit on September 29, 2022 — management decision was due March 29, 2023.
FAC accepted this audit on October 20, 2021 — management decision was due April 20, 2022.
FAC accepted this audit on September 29, 2020 — management decision was due March 29, 2021.
FAC accepted this audit on September 29, 2019 — management decision was due March 29, 2020.
GSA_MIGRATION
Show full finding ▾Hide full finding ▴FAC accepted this audit on August 13, 2018 — management decision was due February 13, 2019.
FAC accepted this audit on October 4, 2017 — management decision was due April 4, 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.
Browse other Single Audit organizations in North Carolina →
Track your findings and corrective action plans across audit cycles.
Start tracking findings →Add it to a monitored group and get alerted when a new audit, finding, repeat finding, or management-decision deadline shows up — instead of checking back.
Checking several at once? Portfolio view →
© 2026 Single Audit Intelligence. All data is public domain.
