Finding Text
Finding reference number: #2022-001 Assistance Listing No. title and number (federal award identification number and year): Supportive Housing for the Elderly (Assistance Listing No. 14.157, 2022) Auditor non-compliance code: N ? Reserve for Replacements Deposits Finding resolution status: Unresolved Universe population size: 12 months of deposits to the reserve for replacement Sample size information: 12 months of deposits to the reserve for replacement Name of federal agency: U.S. Department of Housing and Urban Development Pass-through entity: N/A Questioned costs: $3,846 Statement of condition #2022-001: At December 31, 2022, deposits to the reserve for replacements account of $3,846 had not been made. Criteria: Pursuant to item 10(b) of the Regulatory Agreement (form HUD-92466), the Corporation shall make monthly deposits into a separate reserve for replacements account in the amount of $3,846. At December 31, 2022, $3,846 of the required deposits had not been made. Effect or potential effect: The Corporation is not in compliance with the terms of the Regulatory Agreement. The reserve for replacements account is underfunded by $3,846 at December 31, 2022. Cause: Management oversight. Recommendation: Management should transfer $3,846 from the operating account to the reserve for replacements account. Completion date: March 22, 2023. Reporting views of responsible officials: Management concurs with the finding and recommendation and transferred $3,846 on March 22, 2023 to the reserve for replacements account.