Finding 606796 (2022-001)

-
Requirement
N
Questioned Costs
$1
Year
2022
Accepted
2023-04-30

AI Summary

  • Core Issue: The annual surplus cash from 2021 was not deposited into the residual receipts account as required.
  • Impacted Requirements: This oversight may lead to noncompliance with HUD agreement provisions.
  • Recommended Follow-Up: Ensure the surplus cash is deposited immediately; management has already taken corrective action by making the deposit.

Finding Text

Department of Housing and Urban Development Finding 2022-001: Delinquent Residual Receipts Deposit Condition: The calculated annual surplus cash from the year ended December 31, 2021, was not deposited into the residual receipts account during the current year. Criteria: The calculated annual surplus cash is required to be deposited into the residual receipts account. Effect: Potential noncompliance with HUD agreement provisions. Cause: Management oversight resulted in the calculated annual surplus cash from the year ended December 31, 2021, to not be deposited into the residual receipts account during the current year. Recommendation: The calculated annual surplus cash from the year ended December 31, 2021, should be deposited into the residual receipts account immediately. Views of Responsible Officials and Planned Corrective Actions: Management agrees with the finding and has deposited the calculated annual surplus cash from the year ended December 31, 2021, into the residual receipts account subsequent to year-end. Questioned Costs: $50,831

Categories

Questioned Costs HUD Housing Programs Cash Management Special Tests & Provisions

Other Findings in this Audit

Programs in Audit

ALN Program Name Expenditures
14.155 Mortgage Insurance for the Purchase Or Refinancing of Existing Multifamily Housing Projects $2.50M
14.195 Section 8 Housing Assistance Payments Program $836,475