Finding 1089898 (2023-002)

- Repeat Finding
Requirement
P
Questioned Costs
-
Year
2023
Accepted
2024-12-06

AI Summary

  • Issue: Annual financial reports for Fred Bell Way were not submitted to the RD, violating 7 CFR 3560.308.
  • Impact: Not filing these reports may lead to loss of rental assistance funds, jeopardizing the project's financial health.
  • Next Steps: Ensure CDP staff understands and follows the reporting requirements for RD funds.

Finding Text

2023-002Annual Financial Reports Criteria:According to 7 CFR 3560.308, to ensure that the project is in sound financial condition and is complying with the program financial management requirements, the RD requires annual financial reports to be submitted by each borrower. Condition: The required financial reports and forms for Fred Bell Way were not submitted to the RD. Cause: The CDP staff was not aware of and did not follow the guidelines for annual reporting. Effect: Failure to file annual reports to RD could result in the loss or withholding of rental assistance funds thereby putting a financial strain on the project. Questioned Cost: Undetermined Recommendation: Establish an understanding and initiate the requirements of the management and reporting of RD funds. Management's Views and Corrective Action Plan Management's response is included in "Management's View and Corrective Action Plan" at the end of this report after the schedule of findings and questioned cost

Categories

Reporting

Other Findings in this Audit

Programs in Audit

ALN Program Name Expenditures
14.239 Home Investment Partnerships Program $2.26M
14.871 Section 8 Housing Choice Vouchers $338,939
14.228 Community Development Block Grants/state's Program and Non-Entitlement Grants in Hawaii $292,196
10.427 Rural Rental Assistance Payments $90,121
10.769 Rural Business Enterprise Grants $45,000
10.415 Rural Rental Housing Loans $42,316