EIN: 810341451
UEI: KM8WP7MSLEN5
Audited by: FJ & Associates, 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 April 10, 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 October 10, 2026 (40 days from today).
What is a management decision? →The Organization has a HUD insured loan to which it is not making payments. The loan is in default and can be called at any moment. The balance of the loan is $1,138,002 and $61,471 was accrued as interest for the current year. In total, the Organization owes $1,199,473 on its loan to HUD. Criteria: The Organization is required to make monthly payments on its loan from HUD. Effect: The Property is out of compliance with HUD rules and regulations for the Flex Sub Loan. Recommendations: We recommend that the Project negotiate with HUD to decrease the monthly payments and bring the loan current and implement procedures to ensure that future amounts due on the contingent mortgage are paid in a timely manner. Auditee Response: On June 1, 2020, the Organization reached out to HUD with a plan to resolve the delinquent payments. Suggestions were to either forgive the loan or to have the payments be made from surplus cash. The Organization has not received correspondence concerning these suggestions as of the date on this report.
Show full finding ▾Hide full finding ▴2025 -001 Delinquent Debt Payments Noncompliance Information: Underpayment of the Flex Subsidy Loan. Condition: The Organization has a HUD insured loan to which it is not making payments. The loan is in default and can be called at any moment. The balance of the loan is $1,138,002 and $61,471 was accrued as interest for the current year. In total, the Organization owes $1,199,473 on its loan to HUD. Criteria: The Organization is required to make monthly payments on its loan from HUD. Effect: The Property is out of compliance with HUD rules and regulations for the Flex Sub Loan. Recommendations: We recommend that the Project negotiate with HUD to decrease the monthly payments and bring the loan current and implement procedures to ensure that future amounts due on the contingent mortgage are paid in a timely manner. Auditee Response: On June 1, 2020, the Organization reached out to HUD with a plan to resolve the delinquent payments. Suggestions were to either forgive the loan or to have the payments be made from surplus cash. The Organization has not received correspondence concerning these suggestions as of the date on this report.
Underpayment of the Flex Subsidy Loan On June 1, 2020, the Organization reached out to HUD with a plan to resolve the delinquent payments. Suggestions were to either forgive the loan or to have the payments be made from surplus cash. The Organization has not received correspondence concerning these suggestions as of the date on this report, November 22, 2025. Karen Burkett, the Managing Agent, will work with the Organization to resolve this matter. The anticipated completion date is June 30, 2026.
2024-001
FAC accepted this audit on March 31, 2025 — management decision was due October 1, 2025.
The Organization has a HUD insured loan to which it is not making payments. The loan is in default and can be called at any moment. The balance of the loan is $1,138,002 and $50,091 in accrued interest for the current year. In total, the Organization owes $1,188,093 on its loan to HUD. Criteria: The Organization is required to make monthly payments on its loan from HUD. Effect: The Property is out of compliance with HUD rules and regulations for the Flex Sub Loan. Recommendations: We recommend that the Project negotiate with HUD to decrease the monthly payments and bring the loan current and implement procedures to ensure that future amounts due on the contingent mortgage are paid in a timely manner. Auditee Response: On June 1, 2020, the Organization reached out to HUD with a plan to resolve the delinquent payments. Suggestions were to either forgive the loan or to have the payments be made from surplus cash. The Organization has not received correspondence concerning these suggestions as of the date on this report.
Show full finding ▾Hide full finding ▴Delinquent Debt Payments Noncompliance Information: Underpayment of the Flex Subsidy Loan. Condition: The Organization has a HUD insured loan to which it is not making payments. The loan is in default and can be called at any moment. The balance of the loan is $1,138,002 and $50,091 in accrued interest for the current year. In total, the Organization owes $1,188,093 on its loan to HUD. Criteria: The Organization is required to make monthly payments on its loan from HUD. Effect: The Property is out of compliance with HUD rules and regulations for the Flex Sub Loan. Recommendations: We recommend that the Project negotiate with HUD to decrease the monthly payments and bring the loan current and implement procedures to ensure that future amounts due on the contingent mortgage are paid in a timely manner. Auditee Response: On June 1, 2020, the Organization reached out to HUD with a plan to resolve the delinquent payments. Suggestions were to either forgive the loan or to have the payments be made from surplus cash. The Organization has not received correspondence concerning these suggestions as of the date on this report.
Underpayment of the Flex Subsidy Loan On June 1, 2020, the Organization reached out to HUD with a plan to resolve the delinquent payments. Suggestions were to either forgive the loan or to have the payments be made from surplus cash. The Organization has not received correspondence concerning these suggestions as of the date on this report, November 25, 2024. Karen Burkett, the Managing Agent, will work with the Organization to resolve this matter. The anticipated completion date is June 30, 2025.
2023-001
FAC accepted this audit on August 22, 2024 — management decision was due February 22, 2025.
The Organization has a HUD insured loan to which it is not making payments. The loan is in default and can be called at any moment. The balance of the loan is $1,138,002 and $27,331 in accrued interest for the current year. In total, the Organization owes $1,176,713 on its loan to HUD. Criteria: The Organization is required to make monthly payments on its loan from HUD. Effect: The Property is out of compliance with HUD rules and regulations for the Flex Sub Loan. Recommendations: We recommend that the Project negotiate with HUD to decrease the monthly payments and bring the loan current and implement procedures to ensure that future amounts due on the contingent mortgage are paid in a timely manner. Auditee Response: On June 1, 2020, the Organization reached out to HUD with a plan to resolve the delinquent payments. Suggestions were to either forgive the loan or to have the payments be made from surplus cash. The Organization has not received correspondence concerning these suggestions as of the date on this report.
Show full finding ▾Hide full finding ▴Noncompliance Information: Underpayment of the Flex Subsidy Loan. Condition: The Organization has a HUD insured loan to which it is not making payments. The loan is in default and can be called at any moment. The balance of the loan is $1,138,002 and $27,331 in accrued interest for the current year. In total, the Organization owes $1,176,713 on its loan to HUD. Criteria: The Organization is required to make monthly payments on its loan from HUD. Effect: The Property is out of compliance with HUD rules and regulations for the Flex Sub Loan. Recommendations: We recommend that the Project negotiate with HUD to decrease the monthly payments and bring the loan current and implement procedures to ensure that future amounts due on the contingent mortgage are paid in a timely manner. Auditee Response: On June 1, 2020, the Organization reached out to HUD with a plan to resolve the delinquent payments. Suggestions were to either forgive the loan or to have the payments be made from surplus cash. The Organization has not received correspondence concerning these suggestions as of the date on this report.
On June 1, 2020, the Organization reached out to HUD with a plan to resolve the delinquent payments. Suggestions were to either forgive the loan or to have the payments be made from surplus cash. The Organization has not received correspondence concerning these suggestions as of the date on this report, November 25, 2023. Karen Burkett, the Managing Agent, will work with the Organization to resolve this matter. The anticipated completion date is June 30, 2024.
2022-001
FAC accepted this audit on December 12, 2022 — management decision was due June 12, 2023.
The Organization has a HUD insured loan to which it is not making payments. The Organization owes $101,164 in delinquent payments and $27,331 in accrued interest for the current year. In total, the Organization owes $128,495 on its loan to HUD. Criteria: The Organization is required to make monthly payments on its loan from HUD. Effect: The Property is out of compliance with HUD rules and regulations for the Flex Sub Loan. Recommendations: We recommend that the Project negotiate with HUD to decrease the monthly payments and bring the loan current and implement procedures to ensure that future amounts due on the contingent mortgage are paid in a timely manner. Auditee Response: On June 1, 2020, the Organization reached out to HUD with a plan to resolve the delinquent payments. Suggestions were to either forgive the loan or to have the payments be made from surplus cash. The Organization has not received correspondence concerning these suggestions as of the date on this report.
Show full finding ▾Hide full finding ▴2022-001 Delinquent Debt Payments Noncompliance Information: Underpayment of the Flex Subsidy Loan. Condition: The Organization has a HUD insured loan to which it is not making payments. The Organization owes $101,164 in delinquent payments and $27,331 in accrued interest for the current year. In total, the Organization owes $128,495 on its loan to HUD. Criteria: The Organization is required to make monthly payments on its loan from HUD. Effect: The Property is out of compliance with HUD rules and regulations for the Flex Sub Loan. Recommendations: We recommend that the Project negotiate with HUD to decrease the monthly payments and bring the loan current and implement procedures to ensure that future amounts due on the contingent mortgage are paid in a timely manner. Auditee Response: On June 1, 2020, the Organization reached out to HUD with a plan to resolve the delinquent payments. Suggestions were to either forgive the loan or to have the payments be made from surplus cash. The Organization has not received correspondence concerning these suggestions as of the date on this report.
Miles City Eagle Manor Corrective Action Plan June 30, 2022 2022-001 Delinquent Debt Payments Underpayment of the flex subsidy loan On June 1, 2020, the Organization reached out to HUD with a plan to resolve the delinquent payments. Suggestions were to either forgive the loan or to have the payments be made from surplus cash. The Organization has not received correspondence concerning these suggestions as of the date on this report, November 3, 2022. Karen Burkett, the Managing Agent, will work with the Organization to resolve this matter. The anticipated completion date is June 30, 2023.
2021-001
FAC accepted this audit on July 11, 2022 — management decision was due January 11, 2023.
The Organization has a HUD insured loan. The Organization didn't make any payments during the year. The Organization owes $100,847 in delinquent payments. Criteria: The Organization is required to make monthly payments on the loan with HUD. Effect: The Organization is out of compliance with HUD rules and regulations for the flexible subsidy loan. Recommendations: We recommend that the Organization bring the loan current and implement procedures to ensure that future amount due on the contingent mortgage are paid in a timely manner. Auditee Response: On June 1, 2020 the Organization reached out to HUD with a plan to resolve the delinquent payments. Suggestions were to either forgive the loan or to have the payments be made from surplus cash. The Organization has not received correspondence concerning these suggestions as of the date on this report.
Show full finding ▾Hide full finding ▴2021-001 Delinquent Debt Payments Noncompliance Information: Underpayment of the flexible subsidy loan. Condition: The Organization has a HUD insured loan. The Organization didn't make any payments during the year. The Organization owes $100,847 in delinquent payments. Criteria: The Organization is required to make monthly payments on the loan with HUD. Effect: The Organization is out of compliance with HUD rules and regulations for the flexible subsidy loan. Recommendations: We recommend that the Organization bring the loan current and implement procedures to ensure that future amount due on the contingent mortgage are paid in a timely manner. Auditee Response: On June 1, 2020 the Organization reached out to HUD with a plan to resolve the delinquent payments. Suggestions were to either forgive the loan or to have the payments be made from surplus cash. The Organization has not received correspondence concerning these suggestions as of the date on this report.
Miles City Eagle Manor Corrective Action Plan June 30, 2021 2021-001 Delinquent Debt Payments Underpayment of the flex subsidy loan On June 1, 2020, the Organization reached out to HUD with a plan to resolve the delinquent payments. Suggestions were to either forgive the loan or to have the payments be made from surplus cash. The Organization has not received correspondence concerning these suggestions as of the date on this report, February 7, 2022. Karen Burkett, the Managing Agent, will work with the Organization to resolve this matter. The anticipated completion date is June 30, 2022.
2020-001
FAC accepted this audit on March 2, 2021 — management decision was due September 2, 2021.
The Organization has a HUD insured loan. The Organization made 5 out of the 12 monthly payments. The Organization owes $36,598 in delinquent payments. Criteria: The Organization is required to make monthly payments on the loan with HUD. Effect: The Organization is out of compliance with HUD rules and regulations for the Flex Sub Loan. Recommendations: We recommend that the Organization bring the loan current and implement procedures to ensure that future amount due on the contingent mortgage are paid in a timely manner. Auditee Response:
Show full finding ▾Hide full finding ▴2020-001 Delinquent Debt Payments Noncompliance Information: Underpayment of the flex subsidy loan. Condition:The Organization has a HUD insured loan. The Organization made 5 out of the 12 monthly payments. The Organization owes $36,598 in delinquent payments. Criteria: The Organization is required to make monthly payments on the loan with HUD. Effect: The Organization is out of compliance with HUD rules and regulations for the Flex Sub Loan. Recommendations: We recommend that the Organization bring the loan current and implement procedures to ensure that future amount due on the contingent mortgage are paid in a timely manner. Auditee Response:
Auditee Response:On June 1, 2020 the Organization reached out to HUD with a plan to resolve the delinquent payment. Suggests were to either forgive the loan or to have the payments be made from surplus cash. The Organization has not received correspondence concerning these suggestions as of the date on this report.
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