Finding 503250 (2021-002)

Department of Housing and Urban Development Finding No. 2021-002; Section 207/223(f), Assistance Listing 14.134 Criteria Project is required to deposit the prior year surplus cash amount within 90 days from the fiscal year end date. Condition Failure to make required residual receipts deposits in a timely manner. Cause Calculated surplus cash for the year ended December 31, 2021 was not deposited within 90 days from the fiscal year end date. Effect or Potential Effect The Corporation is not in compliance with the requirements of the regulatory agreement. Questioned Costs None. Recommendation Surplus cash should be closely monitored and deposited into residual receipt account in a timely manner to ensure compliance. Auditor Noncompliance Code: B. Failure to make required residual receipts deposits. Finding Resolution Status: Resolved. Views of Responsible Officials Mt. Zion Land Development Corporation II and Subsidiary agrees with the finding and the auditor's recommendations will be adopted.