Finding Text
Assistance Listing title and number (federal award identification and year): Supportive Housing for the Elderly, Assistance Listing No. 14.157 (Project identification number 121-EH059 and 1982) and Section 8 Housing Assistance Payments Program, Assistance Listing No. 14.195 (Project identification number CA39T791015 and 1982) Auditor non-compliance code: N - Reserve for Replacements Deposits Finding resolution status: Resolved Universe population size: The universe population size is not applicable to the finding. Sample size information: The sample size information is not applicable to the finding. Statistically valid sample: N/A Name of Federal Agency: U.S. Department of Housing and Urban Development Pass-through entity: N/A Questioned costs: $1,423 Statement of Condition 2022-001 (Assistance Listing 14.157 and 14.195): The Corporation did not make all of the HUD required reserve for replacement deposits for the year ended November 30, 2022. Criteria: Pursuant to Section 5 of the Regulatory Agreement, the Property is required to make monthly deposits to the reserve for replacements fund as required by HUD. Effect: The Corporation is not in compliance with the Regulatory Agreement and the reserve for replacements is underfunded by $1,423 at November 30, 2022. Cause: The required deposits to the reserve for replacements for the year ended November 30, 2022 were $1,423 less than the deposits required by HUD. Recommendation: Management should transfer $1,423 from the operating cash account to the reserve for replacements fund. Completion date: December 16, 2022 Management Response: Agree. On December 16, 2022, management transferred $1,423 from the operating account to the reserve for replacements fund.