Finding 1218351 (2025-001)

Material Weakness Repeat Finding
Requirement
N
Questioned Costs
-
Year
2025
Accepted
2026-06-24
Audit: 404612
Organization: Asi - Jamestown, Inc. (MN)

AI Summary

  • Core Issue: The replacement reserve cash balance was underfunded by $360 as of December 31, 2025.
  • Impacted Requirements: The management company did not make the correct monthly deposit into the account.
  • Recommended Follow-Up: Ensure the Project deposits the $360 into the replacement reserve account as agreed.

Finding Text

DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT FINDING 2025-001: SECTION 811, ASSISTANCE LISTING NUMBER 14.181 Condition: The Project's replacement reserve cash balance was underfunded at December 31, 2025. Criteria: The management company failed to make the correct monthly deposit amount into the account. Effect: The replacement reserve cash balance was $360 less than it should be at December 31, 2025. Context: Activity in the replacement reserve account for the year ended December 31, 2025 was tested. No sample was tested. Questioned costs - $360; Cause: The management company failed to increase the monthly deposit amount during the correct month. Recommendation: The Project should deposit $360 into the replacement reserve account. Views of Responsible Officials and Planned Corrective Actions: The Project agrees with the finding. Management will deposit $360 into the replacement reserve account. Total-Department of Housing and Urban Development - $360; Non-compliance code - N

Corrective Action Plan

DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT Condition: The Project's replacement reserve cash balance was underfunded at December 31, 2025. Recommendation: The Project should deposit $360 into the replacement reserve account. Action Taken: The Project agrees with the finding. Management deposited $360 into the replacement reserve account in February 2026. If the Department of Housing and Urban Development has questions regarding this plan, please call Ling Han at 651-757-3038.

Categories

HUD Housing Programs

Programs in Audit

ALN Program Name Expenditures
14.181 SUPPORTIVE HOUSING FOR PERSONS WITH DISABILITIES $53,287