Finding Text
Assistance Listing No. title and number (federal award identification number and year):
Supportive Housing for the Elderly (Assistance Listing No. 14.157, 2024)
Auditor non-compliance code: N – Reserve for Replacements Deposits
Finding resolution status: Unresolved
Universe population size: 12 months of deposits to the reserve for replacement
Sample size information: 12 months of deposits to the reserve for replacement
Name of federal agency: U.S. Department of Housing and Urban Development
Pass-through entity: N/A
Questioned costs: $236
Statement of condition #2024-001: During the year ended March 31, 2024, deposits to the
reserve for replacements account were $236 less than the required amount.
Criteria: Pursuant to item 10(b) of the Regulatory Agreement (form HUD-92466), the Corporation
shall make monthly deposits into a separate reserve for replacements account.
Effect or potential effect: The Corporation is not in compliance with the terms of the Regulatory
Agreement. The reserve for replacements account is underfunded by $236 at March 31, 2024.
Cause: Management oversight.
Recommendation: Management should transfer $236 from the operating account to the reserve
for replacements account.
Reporting views of responsible officials: Management concurs with the finding and
recommendation.