FAC Explorer

Finding 43755 (2022-003)

-
Requirement
N
Questioned Costs
-
Year
2022
Accepted
2023-09-21
Audit: 43792
Organization: Triangle Elderly Housing Corporation (NC)
Auditor: O Douglas Covington CPA PA

AI Summary

  • Core Issue: Two tenant move-out files did not refund security deposits within the required thirty days.
  • Impacted Requirements: HUD mandates that security deposits be refunded within 30 days or as per state law.
  • Recommended Follow-Up: Management should implement procedures to ensure timely refunds of all security deposits.

Finding Text

Finding 2022-003 Finding Resolution Status: Resolved Population Size: 20 Sample Size: 4 Noncompliance Information: I tested four tenant move-out files and found noncompliance in two files. Condition: The tenant security deposit for units 516-C and 604-A were not refunded within thirty days. Criteria: HUD requires tenant security deposits be refunded within 30 days, or the statute set by the state, whichever is shorter. Effect: The tenant security deposit was not refunded within the required time frame. Cause: Management oversight. Recommendation: Management should establish procedures to make sure to refund all security deposits within the thirty-day time frame. Questioned Costs: -0-

Corrective Action Plan

Name of auditee: Triangle Elderly Housing Corp. HUD auditee identification number: FHA/Contract #053-11250 Name of audit firm: O. Douglas Covington, C.P.A., P.A. Period covered by the audit: January 1, 2022 thru December 31, 2022 CAP prepared by: Name: Renee Davis Position: Housing Manager Telephone: (919) 934-6066 3. Finding 2022-003 a. Comments on the Finding and Each Recommendation We are in agreement with the finding. b. Action(s) Taken or Planned on the finding Renee Davis was hired as the new Housing Manager and all tenant security deposit refunds are currently in compliance for any move outs processed subsequent to her being hired.

Categories

HUD Housing Programs Internal Control / Segregation of Duties

Other Findings in this Audit

Programs in Audit

ALN Program Name Expenditures
14.155 Mortgage Insurance for the Purchase Or Refinancing of Existing Multifamily Housing Projects $2.52M
14.195 Section 8 Housing Assistance Payments Program $329,638