Inspector’s narrative
What the inspector wrote
At this office meeting present were: Jerome Haley, Licensing Program Analyst, Luz Adams, Licensing Program Manager, Marina Stanic, Regional Manager, Icela Estrada, Acting Assistant Program Administrator, Allison Nakatomi, Staff Services Manager I, Katie Anderson, Assistant Branch Chief, Jorge Mojica, General Auditor III, Jacqueline Juarez, Audit Manager, Randy Brown, Chief Executive Officer, Michael Beeman, Chief Financial Officer, Anna Hablitzel, Board Member, Gary Johnson, Board Member, Jeff Davis, Board Member, Jim Stearman, Attorney, Pamela Kaufmann, Attorney, and Mark Damon, Certified Public Accountant.
The purpose of this meeting was to discuss the agreed upon actions noted in the Compliance Plan dated April 25, 2022
,
to include a review of the licensee’s 2
nd
Quarter Monitoring Report dated November 10, 2022, which included the following attachments:
·
Attachment A: Statement of Income and Expenses
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Attachment A1: Consumer Census
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Attachment B: Balance Sheet 3 Month Summary
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Attachment B2: Cash Reserves
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Attachment B3: Escrow Funds
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Attachment B4: Line of Credit
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Attachment B4: Back up LLC Line of Credit
The licensee requested to review the 2
nd
Quarter Monitoring Report to determine accuracy and the Department agreed.
Continued on LIC809C
Assistant Branch Chief Katie Anderson asked about the licensee's plan for a sale of the additional properties and hiring a management company or consultant with decision-making authority as instructed per Department’s Letter dated May 18, 2021. The licensee advised DSS that based on the Department’s July 23, 2021 letter and a meeting among DSS, Rowntree, its legal counsel and its accounting firm on August 23, 2021, it believed that a management company was not a financially viable option. The licensee added that there is no immediate plan to sell the properties.
The licensee was asked about their plan should the Federal Refund be further delayed or not received. The licensee responded that they plan to rely on their line of credit in case the refund is not received.
The next Office Meeting will be held November 28, 2022, at 11:00 AM.
An exit interview was conducted, and a copy of this report was provided to the Licensee via email within five calendar days of the Office Meeting, and an email read receipt confirms receipt of the report. The Licensee asked for the report to be revised on November 23, 2022. The Department accepted proposed revisions and this final report was provided on December 2, 2022.
