Finding 37488 (2022-001)

- Repeat Finding

Requirement

Questioned Costs

Year

2022

Accepted

2022-12-08

Audit: 29299

Organization: Pembroke Housing for the Elderly, Inc. (NH)

Auditor: Leone McDonnell & Roberts P A

AI Summary

Issue: One monthly Reserve for Replacement deposit was not made on time.
Requirements Impacted: HUD mandates timely monthly deposits to the Reserve for Replacement account.
Follow-Up: Implement a procedure to ensure all future deposits are made on schedule to maintain compliance.

Finding Text

Department of Housing and Urban Development - Section 202 for the Elderly 14.157 2022-001 Condition: One of the monthly Reserve for Replacement deposits was not deposited in the correct month. Criteria: HUD requires monthly deposits to the Reserve for Replacement account. Effect: Monthly deposit was not made timely. Context: Auditor reviewed the monthly bank statements and noted one deposit was not made in the correct month. Cause: Lack of oversight by management agent. Recommendation: A procedure be implemented to ensure that the Project remains in compliance with its regulatory agreement and all monthly reserve for replacement deposits are made timely.

Corrective Action Plan

Finding 2022-001: Plan: Reserve for Replacement transfers will be done at the beginning of each month to insure they are properly deposited into the correct month. New Staff Accountant has created a procedure so that when the Subsidy Deposit is transferred to our bank account at the beginning of the month, she immediately makes the necessary transfer to the Reserve for Replacement account. Anticipated Completion Date: 9/1/22 Contact: Jill Lesmerises, CFO

Other Findings in this Audit

37489 2022-002

Significant Deficiency
37490 2022-001

- Repeat
37491 2022-002

Significant Deficiency
613930 2022-001

- Repeat
613931 2022-002

Significant Deficiency
613932 2022-001

- Repeat
613933 2022-002

Significant Deficiency

Programs in Audit

ALN	Program Name	Expenditures
14.157	Supportive Housing for the Elderly	$4.82M