Finding 41906 (2022-003)

Material Weakness
Requirement
C
Questioned Costs
-
Year
2022
Accepted
2023-03-30

AI Summary

  • Core Issue: Monthly deposits to the reserve for replacement account were not made on time due to delayed notification from HUD about the approved increase.
  • Impacted Requirements: Compliance with the HUD Regulatory Agreement, specifically maintaining and funding the reserve for replacements.
  • Recommended Follow-Up: Management should create a system for timely monthly deposits and designate a responsible individual for oversight.

Finding Text

2022-003: Failure to adjust monthly reserve for replacement deposit when the new amount of funds authorized by HUD became effective ? HUD entities Condition: A portion of the required monthly deposits to the reserve for replacement account are delinquent for certain HUD entities. Criteria and cause: In accordance with Paragraph 5(a) of the HUD Regulatory Agreement, the Project shall maintain a reserve fund for replacements in a separate account and deposit an amount approved by HUD. The Project was not notified by HUD of the approval of the increase in the monthly reserve for replacement deposit until subsequent to year end. Effect: The deposits to the replacement reserve account were not made in accordance with the HUD Regulatory Agreement. Recommendation: The management agent should establish a method for monthly deposits and assign an individual responsible for ensuring timely and accurate completion.

Categories

HUD Housing Programs

Other Findings in this Audit

  • 41894 2022-001
    Material Weakness
  • 41895 2022-002
    Material Weakness
  • 41896 2022-001
    Material Weakness
  • 41897 2022-002
    Material Weakness
  • 41898 2022-001
    Material Weakness Repeat
  • 41899 2022-002
    Material Weakness Repeat
  • 41900 2022-003
    Material Weakness
  • 41901 2022-001
    Material Weakness Repeat
  • 41902 2022-002
    Material Weakness Repeat
  • 41903 2022-003
    Material Weakness
  • 41904 2022-001
    Material Weakness Repeat
  • 41905 2022-002
    Material Weakness Repeat
  • 41907 2022-001
    Material Weakness Repeat
  • 41908 2022-002
    Material Weakness Repeat
  • 41909 2022-003
    Material Weakness
  • 618336 2022-001
    Material Weakness
  • 618337 2022-002
    Material Weakness
  • 618338 2022-001
    Material Weakness
  • 618339 2022-002
    Material Weakness
  • 618340 2022-001
    Material Weakness Repeat
  • 618341 2022-002
    Material Weakness Repeat
  • 618342 2022-003
    Material Weakness
  • 618343 2022-001
    Material Weakness Repeat
  • 618344 2022-002
    Material Weakness Repeat
  • 618345 2022-003
    Material Weakness
  • 618346 2022-001
    Material Weakness Repeat
  • 618347 2022-002
    Material Weakness Repeat
  • 618348 2022-003
    Material Weakness
  • 618349 2022-001
    Material Weakness Repeat
  • 618350 2022-002
    Material Weakness Repeat
  • 618351 2022-003
    Material Weakness

Programs in Audit

ALN Program Name Expenditures
93.498 Provider Relief Fund $1.53M
84.126 Rehabilitation Services_vocational Rehabilitation Grants to States $765,367
10.558 Child and Adult Care Food Program $474,060
14.181 Supportive Housing for Persons with Disabilities $265,472
21.019 Coronavirus Relief Fund $111,852
93.053 Nutrition Services Incentive Program $96,052
93.044 Special Programs for the Aging_title Iii, Part B_grants for Supportive Services and Senior Centers $90,000
14.195 Section 8 Housing Assistance Payments Program $86,660
14.157 Supportive Housing for the Elderly $85,117
84.181 Special Education-Grants for Infants and Families $83,968
93.575 Child Care and Development Block Grant $69,123
93.667 Social Services Block Grant $55,462
93.045 Special Programs for the Aging_title Iii, Part C_nutrition Services $47,230
93.658 Foster Care_title IV-E $27,469
96.630 Developmental Disabilities Basic Support and Advocacy Grants $19,574
93.791 Money Follows the Person Rebalancing Demonstration $7,806
93.043 Special Programs for the Aging_title Iii, Part D_disease Prevention and Health Promotion Services $2,578