Finding 946059 (2023-001)

-
Requirement
B
Questioned Costs
$1
Year
2023
Accepted
2024-02-16

AI Summary

  • Core Issue: A payment of $36 was made for expenses related to another project, which is against compliance rules.
  • Impacted Requirements: The Project must only cover its own expenses and not those of other projects under common management.
  • Recommended Follow-Up: Review invoices carefully before payment to ensure compliance and prevent future errors.

Finding Text

C. Findings and Questioned Costs - Major Federal Award Programs Audit DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT FINDING 2023-001: SECTION 223(f), ASSISTANCE LISTING NUMBER 14.155 Condition: In 1 of 25 cash disbursements tested, the Project paid the expense of another project under common management. Criteria: The Project should not pay the expenses of another project. Effect: The amount of expenses incorrectly paid was $36 out of a total sample of disbursements of $23,052. Context: A sample of disbursements was selected for testing of compliance. The test found one disbursement that was not in compliance. The non compliance had a financial effect outlined below. The details and results of the sample are as follows: Population - 482, $557,854, Sample - 25, $23,052, Not in Compliance - 1, $36, Questioned Costs - $36, Cause: The Project mistakenly paid part of an invoice of another project under common management. Recommendation: The Project should carefully review invoices before payment to make sure it only pays the proper amount. Views of Responsible Officials and Planned Corrective Actions: The Project agrees with the finding. The accounts payable staff will be reminded to be careful when entering invoices for payment. Total-Department of Housing and Urban Development - $36, Non-compliance code - R

Categories

Questioned Costs

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 $386,420