Finding Text
Criteria Management is required to maintain fidelity bond coverage equal to or exceeding two months of gross potential rent collections. Management currently does not have fidelity bond coverage. Statement of Condition Fidelity bond coverage is insufficient to meet the Section 8 Housing Assistance Payments program requirements. Effect or Potential Effect Insufficient fidelity bond coverage to meet program requirements. Cause Management was not aware that fidelity bond coverage was a requirement as part of the program. Recommendation We recommend that management obtain fidelity bond coverage to meet program requirements. Views of Responsible Officials and Planned Corrective Action Management will review program requirements for fidelity bond coverage and obtain appropriate coverage.