FAC Explorer

Finding 499748 (2024-003)

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Requirement
C
Questioned Costs
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Year
2024
Accepted
2024-09-30
Audit: 322564
Organization: East Long Pond Apartments, Inc. (RI)
Auditor: D'ambra CPA

AI Summary

  • Issue: Operating funds exceeded federal insurance coverage by $26,972 due to management oversight.
  • Requirements: Regulatory agreement mandates that all funds be fully insured or that bank ratings be monitored quarterly.
  • Follow-up: Management plans to move funds to ensure full FDIC insurance coverage.

Finding Text

Condition: Operating funds exceeded federal insurance coverage and management has not monitored the bank’s ratings; Criteria: The regulatory agreement requires all funds to be fully insured or management to monitor the banks ratings on a quarterly basis; Effect: Operating funds exceeded FDIC insurance by $26,972; Cause: Management oversight. Recommendation: Management should monitor the bank’s ratings or move funds to provide for full federal insurance coverage. Management comment: Management will move funds to provide for full FDIC insurance coverage.

Corrective Action Plan

During the past few months management has been in discussions with two banks and reviewing their options for either opening accounts with corresponding banks or purchasing revolving Treasury notes. A final decision will be made in the current fiscal year.

Categories

Internal Control / Segregation of Duties

Other Findings in this Audit

Programs in Audit

ALN Program Name Expenditures
14.239 Home Investment Partnerships Program $221,276
14.181 Supportive Housing for Persons with Disabilities $114,746