FAC Explorer

Finding 1061838 (2023-001)

Significant Deficiency
Requirement
C
Questioned Costs
-
Year
2023
Accepted
2024-08-29
Audit: 318132
Organization: Cushing Housing, INC (OK)
Auditor: M Group LLP

AI Summary

  • Core Issue: The Company failed to deposit surplus cash into the residual receipts account within the required 60 days after year-end.
  • Impacted Requirements: This action violates the HUD regulatory agreement, which mandates timely deposits of surplus cash.
  • Recommended Follow-Up: Ensure future surplus cash deposits are made within the 60-day timeframe to comply with HUD regulations.

Finding Text

Finding #2023-001: HUD Guaranteed 223(a)(7) Mortgage 14.135 Type of Finding: Significant Deficiency Condition: During 2022, the Company did not deposit surplus cash into the residual receipts account within 60 days of year end. Criteria: The HUD regulatory agreement requires the Company to deposit surplus cash into the residual receipts account within 60 days of year end. Effect: The Company is in violation of its Regulatory Agreement. Questioned Cost: $23,238 Cause: The Company does not have the funds to transfer to the residual receipts account. Repeat Finding: No Recommendation: The Company should deposit any surplus cash into the residual receipts account within 60 days of year end. Auditor’s Comment: The Company does not have the funds to retroactively make the deposit to the residual receipts account.

Categories

HUD Housing Programs Cash Management Significant Deficiency

Other Findings in this Audit

  • 485396 2023-001
    Significant Deficiency

Programs in Audit

ALN Program Name Expenditures
14.135 Mortgage Insurance_rental and Cooperative Housing for Moderate Income Families and Elderly, Market Interest Rate $1.19M
14.195 Section 8 Housing Assistance Payments Program $289,098