Finding Text
Condition: The tax and insurance escrow is deficient by $178; Criteria: The HUD management agent handbook specifies that the escrow should have sufficient funds to pay the taxes and insurance when due; Effect: The account is deficient by $178; Cause: Insurance premium increases were not factored into the escrow account maintenance. Recommendation: Management will transfer sufficient funds from the operating cash account to fund the shortfall. Management comment: Management will fund the deficiency.