| ID | Status | Date | Public/Private | Industry | AHACPA Contact |
|---|---|---|---|---|---|
| #17899 | Closed | public | Multifamily | Les Sparks |
|
I have a HUD client who used a draft calculation in error for year end surplus cash and surplus cash restricted for M2M payments instead of the final calculation resulting in an overpayment of each. Obviously that is a finding, but do they need to pay back the total of the two amounts or just the surplus cash since the restricted surplus cash overpayment went to pay the M2M loan? Thank you for your help with this. |
|
|
Yvette, I guess it all depends on how much it was. In most cases, these issues are dealt with by HUD’s reviewer – SEBA. They go through all of this and usually tell the owner what they want done. It many cases , it is repayment. I am constantly amazed at how small these adjustments are. So, without know how significant this is, I would highlight it the finding, but I doubt HUD will ever give back the payment. They may make the client repay. If you want to have the client repay, then they can either repay directly or just correct in the future. No matter what you do, HUD will stay take whatever action they want at some time in the future.
Les Sparks
From: AHACPA Support <support@ahacpa.org> |