Finding 605054 (2022-001)

Significant Deficiency
Requirement
N
Questioned Costs
$1
Year
2022
Accepted
2023-09-24
Audit: 30876
Organization: Boyd Manor (LA)
Auditor: Wharton CPA LLC

AI Summary

  • Issue: $9,000 in restricted funds was misused for daily operating expenses instead of designated tenant common areas.
  • Requirements Impacted: Management failed to adhere to donor restrictions regarding fund usage.
  • Follow-Up: Ensure all management staff are trained to comply with donor restrictions and return misused funds.

Finding Text

2022 ?1 Restricted Fund Usage Questioned Costs: $9,000 Condition: Management failed to utilize restricted funds for the purpose in which they were designated. Criteria: The management company expended $9,000 of funds restricted for use in furnishing tenant common areas and the management office, on daily operating expenses. Cause: Site managers did not expend funds for their intended use. Effect: Restricted funds were not spent appropriately and therefore, should be returned to donor. Recommendation: I recommend management comply with all donor restrictions.

Categories

Questioned Costs

Other Findings in this Audit

  • 28612 2022-001
    Significant Deficiency
  • 28613 2022-002
    Significant Deficiency
  • 605055 2022-002
    Significant Deficiency

Programs in Audit

ALN Program Name Expenditures
14.157 Supportive Housing for the Elderly $2.84M
14.195 Section 8 Housing Assistance Payments Program $144,091