Finding 50775 (2022-001)

-
Requirement
A
Questioned Costs
$1
Year
2022
Accepted
2022-11-14
Audit: 53283
Organization: Whispering Hope, Inc. (LA)

AI Summary

  • Core Issue: Disbursements from restricted funds were made without HUD approval.
  • Impacted Requirements: Regulatory agreement mandates written consent from HUD for such disbursements.
  • Recommended Follow-Up: Ensure the restricted account is replenished for the unapproved withdrawals.

Finding Text

Finding Reference Number: 2022-001 Type of Finding: FA Finding Resolution Status: Resolved Information on Universe Population Size: The finding was not a result of a sampling procedure. Sample Size Information: The finding was not a result of a sampling procedure. Identification of Repeat Finding and Finding Reference Number: This is not a repeat finding. Criteria: According to the regulatory agreement, disbursements from restricted funds may only be made after receiving written consent from HUD. Statement of Condition: HUD approval was not granted for disbursements from the restricted accounts. Cause: The Project needed funds due to the impact of Hurricanes Laura and Delta. Effect or Potential Effect: The restricted account was underfunded by the amount of the withdrawals. Auditor Non-Compliance Code: A Questioned Costs: $96,000 Reporting Views of Responsible Officials: Management agrees with the finding. Management repaid the funds on June 10, 2022. Context: HUD approval was not granted for disbursements from the restricted accounts. Recommendation: Management should replenish the restricted account for the unapproved withdrawals. Auditor's Summary of the Auditee's Comments on the Findings and Recommendations: Management agrees with the finding. Management repaid the funds on June 10, 2022. Response Indicator: Agree Completion Date: June 10, 2022 Response: Management agrees with the finding. Management repaid the funds on June 10, 2022.

Corrective Action Plan

Finding Reference Number: 2022-001 Concur or Do Not Concur: Concur Agree or Disagree with Auditor Recommendations: Agree Actions Taken or Planned on the Finding: Management agrees with the finding. Management agrees with the finding. Management repaid the funds on June 10, 2022. Completion Date: June 10, 2022

Categories

Questioned Costs HUD Housing Programs Reporting

Other Findings in this Audit

Programs in Audit

ALN Program Name Expenditures
14.157 Supportive Housing for the Elderly $4.30M
14.239 Home Investment Partnerships Program $52,940