Finding Text
Findings reference number: 2023-001 Title and AL Number of Federal Program: Mortgage Insurance for Purchase or Refinancing of Existing Multifamily Housing Projects (Sec 223(f)), AL 14.155 Type of finding: Compliance Resolution Status: In process Population size: N/A Sample size: N/A Repeat finding: Yes Criteria: The financial statement submission to HUD's Real Estate Assessment Center (REAC) for the year ended December 31, 2023 is due by March 30, 2024. The Data Collection Form (DCF) should be submitted to the by the earlier of 30 days after receipt of the final audit report or nine months after year end. Condition: The financial statement submission for the year ending December 31, 2023 was filed late. Cause: The bookkeeper for the Project was dealing with certain personal issues and was unable to close the books and complete the year-end accounting on a timely basis. Effect: The REAC submission was late. Noncompliance code: Z Questioned costs: None Reporting views of officials: Management agrees with the finding and will make every effort to file future reports on a timely basis. Contract number: 114-11392 Context: This was noted while performing procedures on the reporting requirements. Recommendation: The audited financial statements should be submitted to REAC by the reporting deadline. Auditors' summary of auditee's comments: They are in agreement. Completion date: 12/31/2024 Response: Management will ensure that the financial statements are submitted to REAC by the reporting deadline.