Finding 1149480 (2024-002)

-
Requirement
E
Questioned Costs
-
Year
2024
Accepted
2025-08-07

AI Summary

  • Core Issue: One tenant did not receive their security deposit refund plus interest within the required 30 days after moving out.
  • Impacted Requirements: This finding highlights non-compliance with HUD regulations and state laws regarding timely security deposit refunds.
  • Recommended Follow-Up: Ensure ongoing staff training and adherence to procedures for timely refunds to maintain compliance.

Finding Text

FINDING No. 2024-002: Section 202 Supportive Housing for the Elderly, ALN 14.157 Finding Resolution Status: Resolved. Information on Universe Population Size: Five former tenants. Sample Size Information: Three former tenants. Identification of Repeat Finding and Finding Reference Number: No. Criteria: As required by HUD regulations, the owner must refund the full security deposit plus accrued interest and/or provide the tenant with an itemized list of any unpaid rent, damages to the unit, and an estimated cost for repair, along with a statement of the tenant’s rights under HUD regulations and state and local laws within 30 days from move-out. Statement of Condition: The Project did not refund the security deposit plus accrued interest to one tenant within the required 30 days from tenant move-out. Cause: The Project did not follow state law and HUD regulations for refunding security deposits resulting in untimely refunds of security deposits. Effect or Potential Effect: The Project is not in compliance with HUD regulations and state laws requiring tenant security deposits to be refunded within 30 days of a tenant move out if no assessments are made against that tenant. Auditor Non-Compliance Code: M – Security Deposits Reporting Views of Responsible Officials:The Project agrees with the finding and the auditor’s recommendation has been adopted. Recommendation: The Project should comply with state law and HUD regulations for refunding security deposits timely. Response Indicator: Agree. Completion date: 09/25/2024 Response: Staff training has been provided and included in monthly reporting procedures.

Categories

Reporting HUD Housing Programs

Other Findings in this Audit

Programs in Audit

ALN Program Name Expenditures
14.157 Supportive Housing for the Elderly - Capital Advance $2.84M
14.157 Supportive Housing for the Elderly - Prac $314,590