Finding reference number: #2023-001
Assistance Listing No. title and number (federal award identification number and year):
Supportive Housing for the Elderly (Assistance Listing No. 14.157, 2023)
Auditor non-compliance code: N – Reserve for Replacements Deposits
Finding resolution status: Unresolved
Universe population size: 12 months of deposits to the reserve for replacement
Sample size information: 12 months of deposits to the reserve for replacement
Name of federal agency: U.S. Department of Housing and Urban Development
Pass-through entity: N/A
Questioned costs: $3,938
Statement of condition #2023-001: During the year ended December 31, 2023, deposits to the
reserve for replacements account were $3,938 less than the required amount.
Criteria: Pursuant to item 10(b) of the Regulatory Agreement (form HUD-92466), the Corporation
shall make monthly deposits into a separate reserve for replacements account.
Effect or potential effect: The Corporation is not in compliance with the terms of the Regulatory
Agreement. The reserve for replacements account is underfunded by $3,938 at December 31, 2023.
Cause: Management oversight.
Recommendation: Management should transfer $3,938 from the operating account to the reserve
for replacements account.
Reporting views of responsible officials: Management concurs with the finding and
recommendation.
Finding reference number: #2023-002
Assistance Listing No. title and number (federal award identification number and year):
Supportive Housing for the Elderly (Assistance Listing No. 14.157, 2023)
Auditor non-compliance code: B – Failure to make required residual receipt deposit
Finding resolution status: Resolved
Universe population size: N/A
Sample size information: N/A
Name of federal agency: U.S. Department of Housing and Urban Development
Pass-through entity: N/A
Questioned costs: $44,246
Statement of condition #2023-002: During the year ended December 31, 2023, required deposits
to the residual receipts account were $44,246 less than the required amount.
Criteria: The Corporation is required to deposit in the residual receipts account an amount per the
December 31, 2022 Computation of Surplus Cash, Distributions and Residual Receipts within 90 days
of the fiscal year end.
Effect or potential effect: The Corporation is not in compliance with the terms of the Section 202
Regulatory Agreement.
Cause: Management oversight.
Recommendation: Management should make all required residual receipts deposits per the annual
Computation of Surplus Cash, Distributions and Residual Receipts within 90 days after the fiscal year
end.
Reporting views of responsible officials: Management concurs with the finding and
recommendation. Management deposited $44,246 to the residual receipts account on February 1, 2024. No further action is required.
Finding reference number: #2023-001
Assistance Listing No. title and number (federal award identification number and year):
Supportive Housing for the Elderly (Assistance Listing No. 14.157, 2023)
Auditor non-compliance code: N – Reserve for Replacements Deposits
Finding resolution status: Unresolved
Universe population size: 12 months of deposits to the reserve for replacement
Sample size information: 12 months of deposits to the reserve for replacement
Name of federal agency: U.S. Department of Housing and Urban Development
Pass-through entity: N/A
Questioned costs: $3,938
Statement of condition #2023-001: During the year ended December 31, 2023, deposits to the
reserve for replacements account were $3,938 less than the required amount.
Criteria: Pursuant to item 10(b) of the Regulatory Agreement (form HUD-92466), the Corporation
shall make monthly deposits into a separate reserve for replacements account.
Effect or potential effect: The Corporation is not in compliance with the terms of the Regulatory
Agreement. The reserve for replacements account is underfunded by $3,938 at December 31, 2023.
Cause: Management oversight.
Recommendation: Management should transfer $3,938 from the operating account to the reserve
for replacements account.
Reporting views of responsible officials: Management concurs with the finding and
recommendation.
Finding reference number: #2023-002
Assistance Listing No. title and number (federal award identification number and year):
Supportive Housing for the Elderly (Assistance Listing No. 14.157, 2023)
Auditor non-compliance code: B – Failure to make required residual receipt deposit
Finding resolution status: Resolved
Universe population size: N/A
Sample size information: N/A
Name of federal agency: U.S. Department of Housing and Urban Development
Pass-through entity: N/A
Questioned costs: $44,246
Statement of condition #2023-002: During the year ended December 31, 2023, required deposits
to the residual receipts account were $44,246 less than the required amount.
Criteria: The Corporation is required to deposit in the residual receipts account an amount per the
December 31, 2022 Computation of Surplus Cash, Distributions and Residual Receipts within 90 days
of the fiscal year end.
Effect or potential effect: The Corporation is not in compliance with the terms of the Section 202
Regulatory Agreement.
Cause: Management oversight.
Recommendation: Management should make all required residual receipts deposits per the annual
Computation of Surplus Cash, Distributions and Residual Receipts within 90 days after the fiscal year
end.
Reporting views of responsible officials: Management concurs with the finding and
recommendation. Management deposited $44,246 to the residual receipts account on February 1, 2024. No further action is required.