Finding Text
Finding # 2024-001
Federal Grantor:
AL# / Program :
Type of Finding:
Finding Resolution
Information on Universe
Population Size:
Sample size:
Criteria:
Statement of Condition:
Cause:
Effect or Potential Effect:
Auditor Non-Compliance
Code:
Questioned Costs:
$ -
Reporting Views of
Responsible Officials:
Context:
Recommendation:
Auditor's Summary of the
Auditee's Comments on
the Findings and
Recommendations:
Response Indicator:
Completion Date:
Response:
We recommend the Project make the required deposit to the reserve for replacement
account or request HUD approval to waive deposits until cash flow improves.
Reserve for replacement is underfunded by $26,376.
Project is not in compliance with HUD compliance requirements.
N - Replacement Reserve Deposits
N/A
6/30/2025
Mission Housing and Property Management are actively working on the Budget
Based Rent Increase (BBRI) and project to submit before the due date of February
2025 for next FY. This will increase cash flow and allow the project to make the
required monthly reserve deposits, as well as the past due reserve deposit amount.
Previously, the project was unable to obtain a waiver of deposits due to not
submitting the BBRI. When the BBRI is obtained, we have the option to submit a
waiver for replacement deposits if needed.
Project did not make payments due to cash flow issues.
In Process
Project is required to make monthly deposits in the amount of $2,198 to the reserve
for replacement as required by HUD.
U.S. Department of Housing and Urban Development
14.157- Supportive Housing for the Elderly under Section 202
Federal Award Finding
Agrees
Project is required to make monthly deposits to the reserve for replacements of
$2,198.
Tests were performed on the twelve required monthly deposits.
Mission Housing and Property Management are actively working on the Budget
Based Rent Increase (BBRI) and project to submit before the due date of February
2025 for next FY. This will increase cash flow and allow the project to make the
required monthly reserve deposits, as well as the past due reserve deposit amount.
Previously, the project was unable to obtain a waiver of deposits due to not
submitting the BBRI. When the BBRI is obtained, we have the option to submit a
waiver for replacement deposits if needed.
Mission Housing and Property Management are actively rent increase to increase
cash flow and allow the project to make the required monthly reserve deposits and
have the option to submit a waiver for replacement deposits if needed.