Answer: The Corporation must make monthly deposits into the replacement reserve as per the Regulatory Agreement with HUD.
Trend: Consistent compliance with HUD's deposit requirements is essential for maintaining funding and support.
List: Ensure timely deposits, verify amounts with HUD, and document compliance for future audits.
Finding Text
In accordance with the Regulatory Agreement between the Corporation and HUD, the Corporation is required to make monthly deposits, in an amount determined by HUD, into the replacement reserve.
Corrective Action Plan
Management will make the delinquent deposit to the replacement reserve of $1,800 and establish transfers for the monthly deposit amount.