Finding 620197 (2022-003)

-
Requirement
N
Questioned Costs
-
Year
2022
Accepted
2023-09-21

AI Summary

  • Core Issue: Two tenant move-out files did not refund security deposits within the required thirty days.
  • Impacted Requirements: HUD mandates that security deposits be refunded within 30 days or as per state law.
  • Recommended Follow-Up: Management should implement procedures to ensure timely refunds of all security deposits.

Finding Text

Finding 2022-003 Finding Resolution Status: Resolved Population Size: 20 Sample Size: 4 Noncompliance Information: I tested four tenant move-out files and found noncompliance in two files. Condition: The tenant security deposit for units 516-C and 604-A were not refunded within thirty days. Criteria: HUD requires tenant security deposits be refunded within 30 days, or the statute set by the state, whichever is shorter. Effect: The tenant security deposit was not refunded within the required time frame. Cause: Management oversight. Recommendation: Management should establish procedures to make sure to refund all security deposits within the thirty-day time frame. Questioned Costs: -0-

Categories

HUD Housing Programs Internal Control / Segregation of Duties

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 $2.52M
14.195 Section 8 Housing Assistance Payments Program $329,638