Finding 1080337 (2024-004)

Material Weakness
Requirement
C
Questioned Costs
$1
Year
2024
Accepted
2024-10-28

AI Summary

  • Issue: Excess residual receipts funds of $28,043 were approved for remittance to HUD but have not been sent as of June 30, 2024.
  • Requirements Impacted: Non-compliance with the Consolidated Appropriations Act of 2016 regarding timely remittance of funds.
  • Follow-Up: Management should implement internal controls to ensure timely remittance of excess funds in the future.

Finding Text

Criteria Excess residual receipts funds should be remitted to HUD upon receipt of HUD approval. Condition Management received HUD approval to remit excess residual receipts funds in the amount of $28,043 on June 8, 2022. The funds have not been remitted to HUD as of June 30, 2024. Cause Controls were not in place to ensure that excess residual receipts funds were timely remitted. Effect or Potential Effect The Organization is not in compliance with the requirements of the Consolidated Appropriations Act of 2016, governing Residual Receipts for PRAC program. Questioned Costs $28,043 Identification as a Repeat Finding This is not a repeat finding. Recommendation Management should establish internal controls and procedures to ensure that excess residual receipts reserve funds are remitted timely. Auditor Noncompliance Code: B. Failure to make required residual receipts deposits. Views of Responsible Officials Management agrees with the finding and has transferred the residual receipts. We will ensure transfers are completed going forward. Finding Resolution Status: Resolved

Categories

Questioned Costs HUD Housing Programs Cash Management Internal Control / Segregation of Duties

Other Findings in this Audit

  • 503888 2024-001
    Material Weakness Repeat
  • 503889 2024-001
    Material Weakness Repeat
  • 503890 2024-002
    Material Weakness
  • 503891 2024-002
    Material Weakness
  • 503892 2024-003
    Material Weakness
  • 503893 2024-003
    Material Weakness
  • 503894 2024-004
    Material Weakness
  • 503895 2024-004
    Material Weakness
  • 503896 2024-005
    Material Weakness
  • 503897 2024-005
    Material Weakness
  • 1080330 2024-001
    Material Weakness Repeat
  • 1080331 2024-001
    Material Weakness Repeat
  • 1080332 2024-002
    Material Weakness
  • 1080333 2024-002
    Material Weakness
  • 1080334 2024-003
    Material Weakness
  • 1080335 2024-003
    Material Weakness
  • 1080336 2024-004
    Material Weakness
  • 1080338 2024-005
    Material Weakness
  • 1080339 2024-005
    Material Weakness

Programs in Audit

ALN Program Name Expenditures
14.157 Supportive Housing for the Elderly $7.42M
14.157 Supportive Housing for the Elderly ("prac") $500,322