Finding 573038 (2024-002)

-
Requirement
E
Questioned Costs
-
Year
2024
Accepted
2025-08-07

AI Summary

  • Core Issue: One tenant did not receive their security deposit refund plus interest within the required 30 days after moving out.
  • Impacted Requirements: This finding highlights non-compliance with HUD regulations and state laws regarding timely security deposit refunds.
  • Recommended Follow-Up: Ensure ongoing staff training and adherence to procedures for timely refunds to maintain compliance.

Finding Text

FINDING No. 2024-002: Section 202 Supportive Housing for the Elderly, ALN 14.157 Finding Resolution Status: Resolved. Information on Universe Population Size: Five former tenants. Sample Size Information: Three former tenants. Identification of Repeat Finding and Finding Reference Number: No. Criteria: As required by HUD regulations, the owner must refund the full security deposit plus accrued interest and/or provide the tenant with an itemized list of any unpaid rent, damages to the unit, and an estimated cost for repair, along with a statement of the tenant’s rights under HUD regulations and state and local laws within 30 days from move-out. Statement of Condition: The Project did not refund the security deposit plus accrued interest to one tenant within the required 30 days from tenant move-out. Cause: The Project did not follow state law and HUD regulations for refunding security deposits resulting in untimely refunds of security deposits. Effect or Potential Effect: The Project is not in compliance with HUD regulations and state laws requiring tenant security deposits to be refunded within 30 days of a tenant move out if no assessments are made against that tenant. Auditor Non-Compliance Code: M – Security Deposits Reporting Views of Responsible Officials:The Project agrees with the finding and the auditor’s recommendation has been adopted. Recommendation: The Project should comply with state law and HUD regulations for refunding security deposits timely. Response Indicator: Agree. Completion date: 09/25/2024 Response: Staff training has been provided and included in monthly reporting procedures.

Corrective Action Plan

FINDING No. 2024-002: Section 202 Supportive Housing for the Elderly, ALN 14.157 Recommendation:The Project should comply with state law and HUD regulations for refunding security deposits timely. Action Taken: Staff training has been provided and included in monthly reporting procedures. If the Oversight Agency for Audit has questions regarding the plan, please call Irene Phillips at 954-835-9200. Sincerely yours, Irene Phillips CFO

Categories

Reporting HUD Housing Programs

Other Findings in this Audit

Programs in Audit

ALN Program Name Expenditures
14.157 Supportive Housing for the Elderly - Capital Advance $2.84M
14.157 Supportive Housing for the Elderly - Prac $314,590