FAC Explorer

Finding 45667 (2022-001)

- Repeat Finding
Requirement
P
Questioned Costs
-
Year
2022
Accepted
2023-07-09
Audit: 52244
Organization: Haverford Property Holdings LLC (MI)
Auditor: Phillip M Stern & Company LLP

AI Summary

  • Core Issue: The Company lacks an operating cash account, which is required.
  • Impacted Requirements: The Company must maintain a minimum number of bank accounts, including an operating account.
  • Recommended Follow-Up: Ensure the Tenant makes payments directly to the Company's operating account for proper compliance.

Finding Text

Statement of condition: The Company did not maintain an operating cash account. Criteria: The Company is required to maintain a minimum number of bank accounts, one of them being an operating account. Cause: The situation exists due to the Tenant making payments directly to the bank on behalf of the Company in lieu of rental payments. Effect or potential effect: As a result of the Company?s operating account not being used, this resulted in the Company not meeting the minimum number of bank accounts requirement. Auditor non-compliance code: Z Questioned costs: N/A. Reporting views of responsible officials: Management of the Company concurs with the finding and agrees with the recommendations. The Company plans to use the bank account as an operating account and have the Tenant make payments directly to this account. The Company will then make the required payments directly from this operating account. Recommendations: Recommendation was made to the Company to have the Tenant make rent payments to the Company to its operating account who will then make the necessary payments from its? own operating account.

Corrective Action Plan

Haverford Property Holdings LLC CORRECTIVE ACTION PLAN Name of Auditee: Haverford Property Holdings LLC FHA Contract Number: 034-22124 Name of Audit Firm: Phillip M. Stern and Company LLP Period Covered by the Audit: 01/01/22 ? 12/31/22 CAP Prepared by: Name: Matt Weisz Position: Chief Financial Officer Telephone Number: (347) 631-4068 A. Current Findings on the Schedule of Findings, Questioned Costs, and Recommendations 1. Finding 2022-1 a. Comments on the Finding and Recommendation We concur with the finding. We agree with the auditor?s recommendation. b. Actions Taken or Planned on the Finding The Company plans to use an operating account by December 31, 2023 and have the Tenant make payments directly to this account. The Company will then make the necessary payments directly from this operating account.

Categories

Reporting

Other Findings in this Audit

Programs in Audit

ALN Program Name Expenditures
14.129 Mortgage Insurance_nursing Homes, Intermediate Care Facilities, Board and Care Homes and Assisted Living Facilities $7.39M