Finding 971060 (2023-003)

-
Requirement
N
Questioned Costs
-
Year
2023
Accepted
2024-04-25

AI Summary

  • Core Issue: Required deposits to the replacement reserve were short by $1,321 due to prior management oversight.
  • Impacted Requirements: Compliance with HUD regulations regarding timely deposits to the replacement reserve.
  • Recommended Follow-Up: Ensure all future deposits are made on time; new management is addressing the shortfall by 12/31/24.

Finding Text

Finding 2023-003 Title and AL Number of Federal Program: Supportive Housing for the Elderly, AL 14.157 Type of finding: Compliance Resolution status: In Progress Population size: N/A Sample size: N/A Repeat finding: No Criteria: All of the required deposits to the replacement reserve were not made during the year. Condition: The required deposits to the replacement reserve for the year were short by $1,321. Cause: Prior management company oversight. Effect: There was a shortfall in the monthly deposits to the replacement reserve as required by HUD. Noncompliance code: N. Reserve for Replacement Deposits Questioned cost: None Reporting views of officials: Management agrees with the finding. Context: This was noted while performing audit procedures on the replacement reserve. Recommendation: All deposits required to be made to the replacement reserve should be made on a timely basis. Auditors' summary of auditee's comments: They are in agreement and the new management company will make a deposit for the shortfall. Completion date: 12/31/24 Response: The new management company plans to make all deposits in a timely manner. Corrective Action: In progress

Categories

HUD Housing Programs Reporting Internal Control / Segregation of Duties

Other Findings in this Audit

Programs in Audit

ALN Program Name Expenditures
14.157 Supportive Housing for the Elderly $226,679