Finding 578104 (2023-002)

-
Requirement
N
Questioned Costs
-
Year
2023
Accepted
2023-11-11
Audit: 2892
Organization: Heritage Fields, Inc. (IL)

AI Summary

  • Core Issue: A security deposit was not refunded within the required 30 days after move-out.
  • Impacted Requirements: HUD mandates timely refunds of security deposits to ensure compliance.
  • Recommended Follow-Up: Implement monthly reviews of the security deposit spreadsheet to ensure timely refunds.

Finding Text

Security Deposits U.S. Department of Housing and Urban Development - Section 811 - Assistance Listing Number 14.181 Criteria or specific requirement: HUD requires security deposits to be paid back within 30 days after move out date. Condition: We noted one security deposit that was not refunded within the 30-day requirement. Questioned Costs: None. Context: During the process of testing security deposits, it was noted that a security deposit was not refunded within the required time period. Effect: Inadequate controls over the security deposit process may result in an improper amount being paid. Cause: The Organization’s personnel inadvertently did not update or review the security deposit spreadsheet. Repeat finding: No. Recommendation: We recommend reviewing the security deposit spreadsheet monthly and refunding security deposits as soon as possible after the move out date. View of responsible officials and planned corrective actions: Management is aware of the situation and has implemented additional controls over the refunding of security deposits.

Categories

HUD Housing Programs

Other Findings in this Audit

Programs in Audit

ALN Program Name Expenditures
14.181 Supportive Housing for Persons with Disabilities $67,795