Finding Text
2022-001 Unaudited REAC Reporting Federal Agency: U.S. Department of Housing and Urban Development (HUD) Federal Program Title: Section 8 Housing Choice Voucher Cluster Assistance Listing Number: 14.871 Award Period: January 1, 2022, through December 31, 2022 Type of Finding: Significant Deficiency in Internal Control Over Compliance, Other Matter Compliance Requirements: Reporting Criteria or specific requirement: The Uniform Financial Reporting Standards (24 CFR section 5.801) require PHAs to submit timely GAAP-based unaudited financial statements electronically to HUD. The unaudited submission was due February 28, 2023. Condition: During our review of the unaudited submission, we noted the submission was not completed until April 18, 2023. Questioned costs: none noted Context: During our review of the unaudited REAC submission, we noted the report was not submitted on time. No extensions were granted by HUD. Cause: The Organization relied on their outside accountant to submit the unaudited submission to HUD and did not follow-up to confirm it had been submitted by the due date. Effect: The unaudited submission was filed late to HUD. The CDA will lose rating points from HUD due to the late filing. Repeat Finding: No Recommendation: We recommend that Management create an internal control monitoring system to ensure future reports are filed prior to their due date. Views of responsible officials: We agree with the finding of 2022-001 ? Unaudited REAC Reporting.