FAC Explorer

Finding 584802 (2023-003)

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Requirement
P
Questioned Costs
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Year
2023
Accepted
2024-01-12
Audit: 11175
Organization: Kceoc Housing Corporation Dba Mixon Manor (KY)
Auditor: Miller Mayer Sullivan and Stevens LLP

AI Summary

  • Excessive Fees: The corporation was overcharged $4,864 in management fees by the management agent for the year ending September 30, 2023.
  • Regulatory Violation: Payments must only cover reasonable operating expenses and necessary repairs, per the HUD Regulatory Agreement.
  • Action Needed: The management agent should reimburse the project $4,864 promptly to resolve the issue.

Finding Text

Finding 2023-003 The corporation was charged excessive management fees of $4,864 by the management agent during the year ended September 30, 2023. The management agent correctly recorded a $4,864 receivable in the corporation's accounting records; however, the management agent appears to have also overcharged management fees from October 2023 through December 2023. Criteria. The HUD Regulatory Agreement does not allow the project to pay out any funds except for reasonable operating expenses and necessary repairs. Cause. Unknown. Effect. The management agent has not reimbursed the project in a timely manner. Recommendation. We recommend that the management agent reimburse $4,864 to the project as soon as possible.

Categories

HUD Housing Programs

Other Findings in this Audit

Programs in Audit

ALN Program Name Expenditures
14.157 Supportive Housing for the Elderly $57,522