FAC Explorer

Finding 24221 (2022-001)

-
Requirement
P
Questioned Costs
$1
Year
2022
Accepted
2023-09-20
Audit: 20080
Organization: Alturas De San Juan, Inc. (PR)
Auditor: Jlm & CO LLP

AI Summary

  • Issue: Tenant security deposits are overfunded by $2 compared to cash accounts.
  • Requirement: HUD guidelines state that the account balance must match the total collected from tenants plus interest.
  • Action: Management should promptly transfer the $2 to correct the funding discrepancy.

Finding Text

Finding No. 2022-001 1. CONDITION ? Project tenant security deposits payable overfunded when compared to tenant?s security cash accounts. 2. CRITERIA ? In HUD Handbook 4350.3, Rev. 1, Chapter 6, Section 2 Paragraph 6-17(B), stated that balance of account must be equal to the amount collected from all tenants in occupancy plus any accrued interest. 3. EFFECT ? Tenant?s security deposits payable is overfunded by $2. 4. CAUSE ? Transfer from forfeited tenant?s security deposit amounted to $2 recorded twice. 5. RECOMMENDATION ? Management Agent must transfer the underfunded amount to the tenant?s security deposit cash account, as soon as possible.

Corrective Action Plan

ALTURAS DE SAN JUAN CORRECTIVE ACTION PLAN FINANCIAL STATEMENT Fiscal Year June 30, 2022 NAME OF PROJECT: NUMBER OF PROJECT: AUDITOR I AUDIT FIRM: Alturas de San Juan 056-EH-195-WAH-L8 Jose Luis Mendoza & Co., LLP FINDING NO. 2022-001 SECURITY DEPOSITS We agree. The accounting error recording the transaction has been corrected during the month of July 2022. Combined Building & Housing Consultants, Inc. Management Agent Name of Contact Person: Rebecca Palacios Position: President Combined Building

Categories

Questioned Costs HUD Housing Programs

Other Findings in this Audit

Programs in Audit

ALN Program Name Expenditures
14.157 Supportive Housing for the Elderly $1.25M
14.195 Section 8 Housing Assistance Payments Program $880,695
14.195 Supplemental Assistance Hud -Covid 19 $19,073
14.195 Section 8 Special Claim for Vacancy $15,082