Finding 1074820 (2023-001)

Criteria In accordance with the regulatory agreement, management is required to maintain the property in good repair. Condition Management failed to maintain the property in good repair and received a score of 51c in its 2023 REAC Physical Inspection. Cause The procedures to ensure compliance with HUD regulations regarding physical condition of the property were not followed. Effect or Potential Effect The project was unable to obtain a passing score on its REAC inspection. Questioned Costs None Recommendation Management should correct all findings noted in the REAC Physical Inspection Report in the time frames requested in the physical inspection. Auditor Noncompliance Code Section 8 program administration I - Failure to maintain property/open physical inspection Finding Resolution Status In process Reporting Views of Responsible Officials The Cooperative agrees with the finding and the auditor's recommendations have been adopted.