Finding Text
Findings Completed 2022-003 Assistance Listing #14.157 Finding: The Project is two months delinquent on making its monthly Reserve for Replacement deposits. Criteria: The Project?s regulatory agreement requires a monthly deposit of $500 in its Reserve for Replacement account. Questioned Costs: None Effect: The Reserve for Replacement account is underfunded by $1,000. Cause: The Project had insufficient cash flow during the year due to a high vacancy rate. Other Information: 2 of 12 months Recommendation: The Project deposited $1,000 into the Reserve for Replacement account on October 21, 2022. Reply: Management agrees with the finding and deposited $1,000 into the Reserve for Replacement account on October 21, 2022.