Finding 30488 (2022-001)

-
Requirement
C
Questioned Costs
-
Year
2022
Accepted
2022-11-15

AI Summary

  • Core Issue: Surplus cash was not deposited into the Residual Receipts account as required by the regulatory agreement.
  • Impacted Requirements: The project failed to follow procedures for timely deposits, leading to a deficiency in the Residual Receipts account.
  • Recommended Follow-Up: Management should regularly review surplus cash calculations near year-end to ensure compliance with deposit requirements.

Finding Text

Finding Reference Number: 2022-001 Type of Finding: FA Finding Resolution Status: Resolved Information on Universe Population Size: The finding was not a result of a sampling procedure. Sample Size Information: The finding was not a result of a sampling procedure. Identification of Repeat Finding and Finding Reference Number: This is not a repeat finding. Criteria: The regulatory agreement requires the project to deposit ?surplus cash? into a Residual Receipts account with 90 days after the end of the fiscal year. Statement of Condition: Surplus cash was not deposited into the Residual Receipts account. Cause: Procedures in place to ensure that the deposit is made were not followed. Effect or Potential Effect: The Residual Receipts account is deficient. Auditor Non-Compliance Code: B Questioned Costs: There are no questioned costs. The finding does not relate to an undocumented transaction or unreasonable expenditure. Reporting Views of Responsible Officials: Management agrees with the finding. The residual receipts account deficiency was funded on September 6, 2022, in the amount of $2,223. Management will ensure that the residual receipts account is properly funded in the future. Context: Surplus cash was not deposited into the Residual Receipts account. Recommendation: Management should review its surplus cash calculation at or near year end to determine whether the project is in a surplus cash position. Auditor's Summary of the Auditee's Comments on the Findings and Recommendations: Management agrees with the finding. The residual receipts account deficiency was funded on September 6, 2022 in the amount of $2,223. Management will ensure that the residual receipts account is properly funded in the future. Response Indicator: Agree Completion Date: September 6, 2022 Response: Management agrees with the finding. The residual receipts account deficiency was funded on September 6, 2022 in the amount of $2,223. Management will ensure that the residual receipts account is properly funded in the future.

Corrective Action Plan

Finding Reference Number: 2022-001 Concur or Do Not Concur: Concur Agree or Disagree with Auditor Recommendations: Agree Actions Taken or Planned on the Finding: Management agrees with the finding. The residual receipts account deficiency was funded on September 6, 2022, in the amount of $2,223. Management will ensure that the residual receipts account is properly funded in the future. Completion Date: September 6, 2022

Categories

Cash Management HUD Housing Programs Reporting

Other Findings in this Audit

Programs in Audit

ALN Program Name Expenditures
14.181 Supportive Housing for Persons with Disabilities $1.47M