Finding Text
Criteria: The debt service reserve should have a separate general ledger account.
Condition: During our review of compliance requirements for the Community Facilities Loans &
Grants Cluster, we identified the funds were not in a separate general ledger account.
Cause: The requirement was not met due to an oversight of management.
Potential Effect: As a result, the Agency reserves the right to withdraw Agency funding.
Recommendation: The Organization should setup a separate general ledger account for debt service
reserve.
Client Response: The Organization has setup a separate general ledger account.