I have a Non-Profit Multi-Family project that was originally financed by NJ Housing and Mortgage Finance Authority.  The mortgage has been paid in full which ended the reporting requirement to NJ HMFA.  The project has now signed a HAP contract with HUD.  The HAP contract does not have reporting requirements. My question is are there any reporting requirements to HUD?  The 2004 memo on submission requirements seems to be contradictory; on page 19 it states that once a mortgage is prepaid no AFS is required as long as there are no other contracts with reporting requirements.  However, on page 21 it states that Nonprofits which receive over $500K in Federal Assistance must submit an AFS.  The Project will receive approximately $900K in section 8 payments.  Is the Project required to submit a financial statement to HUD?  A related question is if there are no reporting requirements is the Project also still required to maintain a Reserve for Replacement account?