FAC Explorer

Finding 512936 (2022-001)

-
Requirement
N
Questioned Costs
-
Year
2022
Accepted
2024-12-03
Audit: 330718
Organization: Hillside Elderly Housing, Inc. (CT)
Auditor: Bailey Moore Glazer Schaeffer & Proto LLP

AI Summary

  • Core Issue: $31,479 was incorrectly withdrawn from the replacement reserves without HUD approval.
  • Impacted Requirements: Proper procedures for fund withdrawals were not followed, leading to underfunding of the replacement reserve.
  • Recommended Follow-Up: Ensure accurate matching of withdrawal requests to the correct bank accounts to prevent future errors.

Finding Text

CFDA Number: 14.157 - Supportive Housing for the Elderly Grantor: HUD Questioned Costs: $0 Description of Condition: During the fiscal year the amount of $31,479 was drawn from replacement reserves without HUD approval. Cause of the Condition: A withdrawal which was supposed to come from the miscellaneous escrow account was taken from the replacement reserve account in error. Effect of the Condition: The replacement reserve account was underfunded but there was a corresponding overfunding in the escrow account. Recommendations: Care be taken in matching requests to the proper bank accounts. Management Response: Agree with the finding. The money was immediately replaced upon notification.

Corrective Action Plan

Hillside Elderly Housing Inc. 1 Glen Ayre Dr. New Milford, CT 06776 November 22, 2024 Corrective Action Plan US Department of Housing & Urban Development 20 Church Street 10th Floor Hartford, CT 06103 Hillside Elderly Housing Inc respectfully submits the following action plan for June 30, 2022 year-end audited by: Brian S Borgerson, CPA Bailey, Moore, Glazer, Schaefer & Proto LLP 16 Lunar Drive Woodbridge, Connecticut The sole finding from the 06/30/2022 schedule of findings and questioned costs below and numbered consistently with the numbers assigned in Section A of the Summary of Audit Results does not include findings and is not addressed. Findings-Financial Statement Audit NONE Findings-Federal Award Programs Audit Department of Housing and Urban Development Finding number 2022-001 CFDA Number: 14.157 - Supportive Housing for the Elderly Recommendations: Care to be taken in matching requests to the proper bank accounts Management Response: Money was erroneously withdrawn from the wrong bank account. Should have been the escrow account vs the replacement reserve account. Funds have been reimbursed to the proper account. Sabine Cox Elderly Housing Management, Inc. Comptroller

Categories

HUD Housing Programs Matching / Level of Effort / Earmarking

Other Findings in this Audit

Programs in Audit

ALN Program Name Expenditures
14.157 Supportive Housing for the Elderly $355,310