FAC Explorer

Finding 380613 (2022-003)

- Repeat Finding
Requirement
P
Questioned Costs
-
Year
2022
Accepted
2024-03-15
Audit: 295386
Organization: Housing Authority of Crisfield (MD)
Auditor: Sb & Company LLC

AI Summary

  • Core Issue: The Authority lacks required depository agreements with financial institutions for Federal funds.
  • Impacted Requirements: Compliance with HUD regulations for safeguarding Federal funds.
  • Recommended Follow-Up: The Authority must establish depository agreements with all relevant financial institutions.

Finding Text

Criteria Public Housing Authorities are required to enter into depository agreements with their financial institutions using the HUD-519999 or a form required by HDU in the ACC. The agreements serve as safeguards for Federal funds a provide third-party rights to HUD. Condition The Authority could not provide depositor agreements with financial institutions holding Federal funds for the Authority. Questioned Costs None. Cause The Authority does not have depositor agreements with financial institutions holding Federal funds for the Authority. Effect The Authority should enter into depository agreements with all financial institutions holding Federal funds for the Authority. Recommendation The Authority should enter into depository agreements with all financial institutions holding Federal funds for the Authority.

Corrective Action Plan

Depository Agreements (Non Compliance) Recommendation: The Authority should enter into depository agreements with all financial institutions holding Federal funds for the Authority. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: The Authority has had prior communications with the Bank regarding the depository agreements requirements. The Bank would not sign due to internal policies. The Commission will coordinate discussions between our HUD local field office and the Bank to discuss the requirements for obtaining a depository agreement. Name(s) of the contact person(s) responsible for corrective action: Don Bibb, Executive Director Planned completion date for corrective action plan: December 31, 2023

Categories

HUD Housing Programs

Other Findings in this Audit

  • 380607 2022-001
    Material Weakness Repeat
  • 380608 2022-001
    Material Weakness Repeat
  • 380609 2022-001
    Material Weakness Repeat
  • 380610 2022-002
    - Repeat
  • 380611 2022-002
    - Repeat
  • 380612 2022-002
    - Repeat
  • 957049 2022-001
    Material Weakness Repeat
  • 957050 2022-001
    Material Weakness Repeat
  • 957051 2022-001
    Material Weakness Repeat
  • 957052 2022-002
    - Repeat
  • 957053 2022-002
    - Repeat
  • 957054 2022-002
    - Repeat
  • 957055 2022-003
    - Repeat

Programs in Audit

ALN Program Name Expenditures
14.850 Public and Indian Housing $1.11M
14.872 Capital Fund Program $317,971
14.850 Covid 19 - Public and Indian Housing $176,527