| ID | Status | Date | Public/Private | Industry | AHACPA Contact |
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| #6689 | Closed | public | Multifamily | Les Sparks |
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Back in June or July 2015, there was a notice from HUD about recapture of residual receipts in excess of $250 per unit. This was limited to PRAC’s expiring from July through September 30, 2015. At this time, this did not apply to my client and thus did not have to repay HUD. However, I cannot seem to find any verbiage discussing this further. Is there a current requirement to pay or is HUD still working on this? |
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From Les Sparks: There was another letter issued later in the year indicating continued desire to pursue this. It was sent to owners. However, there has been NO movement to actually collect these amounts on any organized basis by HUD. No actually knows what is going on or when HUD will actually move to collect all of that money. In the mean time every auditor with a PRAC with RR is wondering what they should do – should they reserve or disclose or what? I firmly believe that these amounts will be lost, eventually. How soon is anyone’s guess. In the mean time, the accounting may be as harsh as a complete reserve for the amount over $250 per unit, or it may be a simple as footnote disclosure. I am past fighting with client’s over this. |