Finding Text
Security Deposits U.S. Department of Housing and Urban Development - Section 811 - Assistance Listing Number 14.181 Criteria or specific requirement: HUD requires security deposits to be paid back within 30 days after move out date. Condition: We noted one security deposit that was not refunded within the 30-day requirement. Questioned Costs: None. Context: During the process of testing security deposits, it was noted that a security deposit was not refunded within the required time period. Effect: Inadequate controls over the security deposit process may result in an improper amount being paid. Cause: The Organization’s personnel inadvertently did not update or review the security deposit spreadsheet. Repeat finding: No. Recommendation: We recommend reviewing the security deposit spreadsheet monthly and refunding security deposits as soon as possible after the move out date. View of responsible officials and planned corrective actions: Management is aware of the situation and has implemented additional controls over the refunding of security deposits.