Audit 405038

Type of Finding Material Weakness in Internal Control Compliance Federal Agency U.S. Dept. of Housing and Urban Development Federal Program Name Section 202 Capital Advance Assistance Listing Number 14.157 Federal Award Identification Number and Year WI39S971003-23Z-1998 Award Period 2025 HUD Code P - Residual Receipts Criteria The Project is required to make a deposit into the residual receipts account within 90 days after year end in the amount of any surplus cash. Condition Management did not make the deposit $48,646 by the March 31, 2025 deadline. Questioned Costs N/A Cause The project did not have the controls in place to ensure the deposit was made timely. Effect The residual receipts account was underfunded by $48,646 from March until October 2025. Repeat Finding No Recommendation We recommend management ensure they have the controls and processes in place to make the residual receipts deposit timely. Views of Responsible Officials and Planned Corrective Actions No disagreements with the finding. Management Response Management will review procedures to ensure they have the process in place to ensure timely deposit going forward.