Audit 405040

Federal agency: U.S. Department of Housing and Urban Development Federal program title: Section 202 Capital Advance Listing Number: 14.157 Pass-Through Agency: N/A Pass-Through Number(s): N/A Award Period: N/A FAIN number and year: 092-EE024-6-A-05-46 - 1998 Type of Finding: Significant Deficiency in Internal Control over Compliance Criteria or specific requirement: 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 $1,754 by the March 31, 2025 deadline. Questioned costs: None Context: The project made the deposit on April 30, 2026. Cause: The project did not have the controls in place to ensure the deposit was made timely. Effect: The project did not make the $1,754 deposit into the residual receipts account until after the required due date. Repeat Finding: N/A Recommendation: We recommend management ensure they have controls and processes in place to make the residual receipts deposit timely. Views of responsible officials: No disagreements with the audit finding. Management Response: Management will review procedures to ensure they have the process in place to ensure timely deposit going forward.