| ID | Status | Date | Public/Private | Industry | AHACPA Contact |
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| #11379 | Closed | public | Multifamily | _General Support |
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Hello, My client is an nonprofit that receives federal funds and is subject to an audit under Uniform Guidance. This client is the sole owner of an entity that owns and manages a multifamily rental property and is considering a HUD refinance under 223(f). The loan amount would be approximately $2M. If they proceed with the refinance, what would the HUD reporting requirements look like? Does HUD require separate audited financial statements for the entity owning the multifamily property? Or would a Single Audit of the consolidated parent entity suffice? What level of detail would need to be presented in supplementary schedules and submitted in the FASSUB? Thanks! |
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Alyssa, this all depends on how the loan is done. If the loan shares the time of the non-profit, then it could be audited within the current non-profit’s Single Audit. If HUD requires to entity to establish a separate single-purpose entity with it own TIN, then the audit will be of the project’s own financial statements only. The TIN is the determining factor for multifamily reporting.
Les Sparks AHACPA (801) 547-0809
From: AHACPA Support <support@ahacpa.org> |