Finding 1131707 (2024-002)

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Requirement
N
Questioned Costs
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Year
2024
Accepted
2025-04-17
Audit: 353899
Organization: Schoolhouse Apartments, Inc. (CT)
Auditor: Seward and Monde

AI Summary

  • Core Issue: The property has not resolved findings from the 2023 Management and Occupancy Review (MOR) report.
  • Impacted Requirements: Compliance with HUD 4350.1, which mandates that deficiencies be addressed within 30 days.
  • Recommended Follow-Up: Implement procedures to ensure timely responses to MOR findings and submit updated targeted completion dates to HUD as needed.

Finding Text

Statement of Condition: Findings from the property’s 2023 Management and Occupancy Review (MOR) report have not been resolved. Criteria: HUD 4350.1, Chapter 6 Rev-1, paragraph 6-13 states that targeted completion dates (TCDs) must be noted for all deficiencies identified during the review and may not exceed 30 calendar days. Owner/agents must provide documentation to support that the deficiencies were corrected by the TCD noted on the Summary Report. If additional time is needed to correct deficiencies, the owner/agent’s corrective action plan will be due within 30 calendar days. The corrective action plan must include targeted timeframes for resolving the deficiencies and must be monitored by the reviewer until all deficiencies have been addressed. Effect: Noncompliance with HUD regulations. Cause: Due to employee turnover and transitions. Context: The Organization did not resolve 2023 MOR findings nor provide updated TCDs to HUD. Recommendation: The Organization should establish procedures to ensure compliance and provide a complete response to all MOR report findings within the 30-day requirement and if needed, provide updated TCDs to HUD. Management’s Response and Corrective Action Plan: We agree with the finding and have submitted our responses to the findings identified in the 2023 MOR on March 6, 2025. We will put procedures in place to respond to MOR reports within the 30-day deadline.

Categories

HUD Housing Programs

Other Findings in this Audit

Programs in Audit

ALN Program Name Expenditures
14.155 Mortgage Insurance for the Purchase Or Refinancing of Existing Multifamily Housing Projects $2.78M
14.195 Section 8 Housing Assistance Payments Program $646,104