Core Issue: Funds from the Homekey Round 2 program were not held in an interest-bearing account, violating compliance requirements.
Impacted Requirements: All received funds must be maintained in an interest-bearing account as per federal program guidelines.
Recommended Follow-up: Transfer any remaining funds into an interest-bearing account to ensure compliance moving forward.
Finding Text
• Information on the federal program: California Department of Housing and Community
Development Finding 2023-2: Pass-through County of
Ventura: Homekey Round 2
• Criteria or specific requirement: Received funds were to be held in an interest-bearing
account.
• Condition: Funds were not held in an interest-bearing account.
• Questioned costs: No matters were reported
• Context: No matters were reported
• Effect: Not in compliance due to funds not being held in an
interest-bearing account.
• Cause: Funds were not held an interest-bearing account.
• Recommendation: Remainder of funds should be transferred into an
interest-bearing account.
• Management’s response: The majority of Homekey Round 2 funds were spent upon receipt in order to satisfy a bridge loan to purchase
the subject property.
Categories
Procurement, Suspension & DebarmentMatching / Level of Effort / Earmarking