HUD Tracking Travel Expenses

by admin on April 5, 2014

If your client or you are on the Board or a member of a cooperative that is supervised under HUD, please note the following:

Many management companies charge travel expenses to the site. If during the HUD audit the proper documentation is not set forth, the management company ends up reimbursing the site for those expenses. With this being said, it is very important that the management company establishes a “Travel Policy”. HUD auditors have found improper or excessive travel expenses, insufficient or lack of proper documentation or lack of a travel policy to control travel expenses.  Management should have a travel policy to make sure that the expenses are legitimate and reasonable travel expenses. Part of the policy should include a detailed travel expense form for any employee who is authorized to travel. In the policy it should state; when is travel permitted; detailed on how to make travel arrangements; what expenses are permitted, which ones are not; use of company credit cards, cash and out-of pocket expenses and how to fill out the travel expense form.

Please pass this information on to those management companies that might be effected by this new HUD audit procedure.

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