We currently are auditing a 6/30 non profit housing property, owner certified in the past, which is a component unit of a large PHA with many other similar component units financed through RAD/LIHTC etc. We are not the auditors of the PHA.

The housing entity we audit has no loans outstanding.  For fiscal 2020 they received $800k in HUD funding through both PBRA and PBV HAP as part of revitalization, putting the property above the $800k in federal awards/expenditures, which it was not in the prior years.

If the property was included as a component unit of the PHA’s Financial Statements, and is not carved out of their single audit by those auditors, generally I would conclude they are fine without their own single audit – the PHA Data Collection Form would state that their SA includes the activity of the property, and note their EIN there.

However, I am questioning that conclusion due to the nature of the property/HUD subsidy attached to it, and whether there is a requirement I am not thinking of.