Finding Text
Finding #2022-002: Section 202 Capital Advance, CFDA 14.157 Condition: The audited financial statements were not entered into the FASSUB system timely. Criteria: The HUD regulatory agreement requires the audited financial statements to be prepared in accordance with GAAP and filed into the FAASUB system within 90 days of year end. Effect: The Company is in violation of the compliance requirement of its major federal program. Questioned Cost: $0 Cause: Insufficient funds to pay prior year audit fees. Recommendation: We recommend that the audited financial statements be submitted into the FASSUB system within 90 days of year end. Auditor?s Comment: HUD approved a residual receipts withdrawal to pay outstanding audit fees. The financial data was submitted into the FASSUB system.