Finding Text
2022-001 U.S. Department of Housing and Urban Development 14.195 - Section 8 Housing Assistance Bank Reconciliation Condition: The Operating bank account was not reconciled in a timely manner, for the month of December 31, 2022. Criteria: Bank reconciliations should be prepared at the end of each month, for each checking account and agreed to the general ledger. In addition, the cash balance maintained in general ledger, should be monitored, prior to the issuance of checks. Cause: Transfer of cash from the savings account, was not processed prior to December 31, 2022. Effect: The cash balance maintained in the general ledger for the operating account, was overdrawn by $29,628 as of December 31, 2022. Recommendation: I recommend that bank reconciliation should be reconciled to the general ledger on a monthly basis and cash balance maintained in general ledger, should be monitored, prior to the issuance of checks. Performing these procedures will reduce the risk of an overdrawn or overstated bank balance, during the fiscal year. Views of Responsible Officials and Planned Corrective Actions: Has been corrected.