Finding Text
Criteria: The Parish, as a public housing authority, is required to enter into depository agreements with their financial institutions in the form required by HUD. The agreements serve as safeguards for federal funds and provide third party rights to HUD. (24 CFR section 982.156) Condition: The Parish did not have the required depository agreements in place during 2023. Questioned Costs: None. Cause: The Parish’s experienced personnel changes in the Director of Finance and Director of Housing positions in recent years (2021 through 2023). Effect: Due to lack of oversight of this requirement, the Parish’s former depository agreement lapsed in 2021. Recommendation: The Parish should review policies and procedures in place to ensure appropriate oversight and review of all HUD compliance requirements, including the requirement related to depository agreements. The Parish should execute a depository agreement with its financial institution immediately. View of Responsible Official: See the corrective action plan provided by the Parish.