Finding Text
Schedule reference number 2023-001. Title and AL Number of Federal Program: Supportive Housing for the Elderly, AL 14.157 Type of finding: Financial statement Resolution status: In process Population size: N/A Sample size: N/A Repeat finding: No. Criteria: All significant general ledger accounts were not reconciled for the year ended December 31, 2023. Condition: During the audit, several adjusting journal entries were recorded to reconcile certain accounts to underlying support. Cause: The Project had a change in the management company in December 2023 and during the transition, some accounts were not reconciled. Effect: Several audit adjusting journal entries were recorded. Noncompliance code: S. Internal control deficiency Questioned cost: None Reporting views of officials: Management agrees with the finding. Context: This was noted while performing certain procedures on various general ledger accounts during the audit. Recommendation: The new management company should ensure that all significant accounts are reconciled on a monthly basis. Auditors' summary of auditee's comments: They are in agreement. Completion date: 12/31/24 Response: The new management company agrees with the comments and will ensure that in the future, all transactions are properly recorded and all accounts are reconciled on a monthly basis.