Finding 1147915 (2024-004)

-
Requirement
N
Questioned Costs
$1
Year
2024
Accepted
2025-07-16

AI Summary

  • Core Issue: The Project's bank deposits exceeded FDIC coverage, risking noncompliance with HUD agreement provisions.
  • Impacted Requirements: Compliance with HUD agreement regarding insured banking account balances.
  • Recommended Follow-up: Monitor banking account balances regularly to ensure they stay within FDIC coverage limits.

Finding Text

Finding 2024-004: Uninsured Banking Account Balance: Condition: At November 14, 2024, the Project had deposits which exceeded the Federal Deposit Insurance Corporation’s (FDIC) coverage. Criteria: Certain provisions of the HUD agreement. Effect: Potential noncompliance with HUD agreement provisions. Cause: Certain financial institution’s banking accounts exceeded the Federal Deposit Insurance Corporation’s (FDIC) coverage. Recommendation: The Project needs to monitor its banking account balances to ensure compliance. Views of Responsible Officials and Planned Corrective Actions: Management agrees with the finding and recommendation. Questioned costs: $27,000

Categories

Questioned Costs HUD Housing Programs Special Tests & Provisions

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 $3.58M
14.195 Project-Based Rental Assistance (pbra) $1.41M