Finding 1079124 (2023-001)

Title and CFDA Number of Federal Program: Section 202 Capital Advance CFDA # 14.181 Type of Finding: Federal Award Finding Finding Resolution Status: Unresolved Criteria: The Project is required to maintain a Security Deposit bank account equal to or greater than the Security Deposits Liability. Statement of Condition: The Project’s security deposit bank account is underfunded $1,618. Cause: The Project’s management withdrew funds from the security deposit account to cover operations. Effect or Potential Effect: The Project does not have the necessary funds to cover the security deposit liability. Reporting Views of Responsible Officials: The Project’s management should redeposit the funds into the security account as soon as possible, to bring the account to the correct balance. Recommendation: The Project’s management should redeposit the funds into the security account as soon as possible, to bring the account to the correct balance. Auditor’s Summary of the Auditee’s Comments on the Finding Recommendations: The Project’s management should not withdraw funds from the Security Deposit Bank account at any time for operations. Response Indicator: Agree Completion Date: 03/12/2024 Response: The Project’s management will redeposit the funds into the Security Deposit bank account as soon as possible and will not withdraw funds in the future without proper documentation.