Finding Text
Supportive Housing for Persons with Disabilities (Section 811), CFDA 14.181 Criteria: The Project?s occupancy rate should be adequate to maintain Project operations. Statement of Condition: The Project?s vacancy expense was 26% of rental revenue for the year ended September 30, 2022. Cause: Of the Project?s 14 total units, 2 were vacant the entire year, and several units were vacant at various times during the year. Effect: Decreased revenue may result in excessive future usage of replacement reserve funds. Decreased revenue may also negatively impact the Project?s ability to fund future Project operations. Recommendation: The Project should continue its efforts to obtain tenants and decrease vacancies. Views of Responsible Officials: We agree with the finding. The Project will continue its attempts to decrease vacancies.