Finding 636377 (2022-001)

-
Requirement
C
Questioned Costs
$1
Year
2022
Accepted
2022-11-29
Audit: 56196
Organization: Buckingham Terrace II INC (GA)

AI Summary

  • Core Issue: The Housing Corporation did not deposit surplus cash into a required residual receipts account, violating HUD regulations.
  • Impacted Requirements: Compliance with the HUD Regulatory Agreement regarding residual receipts deposits.
  • Recommended Follow-Up: Ensure a residual receipts account is established and monitor future deposits to maintain compliance.

Finding Text

S3800-010 Finding Reference Number 2022-001 S3800-011 Title and CFDA Number of Federal Program 14.157 ? Supportive Housing for the Elderly S3800-015 Type of Finding Federal Award Finding S3800-016 Finding Resolution Status Resolved S3800-017 Information on Universal Population Size N/A S3800-018 Sample Size Information N/A S3800-019 Identification of Repeat Finding and Finding Reference Number N/A S3800-020 Criteria The HUD Regulatory Agreement requires that any residual receipts realized from operation of the mortgaged property shall be deposited in a separate residual receipts account. S3800-030 Statement of Condition The Housing Corporation failed to deposit the surplus cash funds due to the residual receipts. S3800-032 Cause Management did not establish the residual receipts account, nor deposit the surplus cash funds due to the residual receipts. S3800-033 Effect or Potential Effect The Housing Corporation is not in compliance with its Regulatory Agreement. S3800-035 Auditor Non-Compliance Code B. Failure to make required residual receipts deposits. S3800-040 Questioned Costs $1,386 S3800-045 Reporting Views of Responsible Officials Management agrees with the finding and has made the required deposit as of 6/17/2022. S3800-080 Recommendation Management should establish a residual receipts account and deposit the funds due into the account. S3800-090 Auditor?s Summary of the Auditee?s Comments on the Findings and Recommendations Auditor agrees with auditee?s comments on the finding and recommendations. S3800-130 Response Indicator Agree S3800-140 Completion Date June 17, 2022 S3800-150 Response Management agrees with the finding and has made the required deposit as of 6/17/2022.

Categories

Questioned Costs HUD Housing Programs Cash Management Reporting

Other Findings in this Audit

Programs in Audit

ALN Program Name Expenditures
14.157 Supportive Housing for the Elderly $66,964