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16Classification Rule

GL vs. Statement Total Mismatch in CAM Reconciliations

A $9,800 difference between the CAM statement and the supporting GL can turn into a tenant-specific overcharge when it is allocated by pro-rata share without explanation.

Definition

A GL vs. statement total mismatch occurs when the total shown on the CAM reconciliation does not agree to the general ledger detail provided as support. The mismatch may happen at the full operating expense level, within a single category, or inside a tenant-specific recovery pool. Differences can be caused by missing ledger entries, duplicate statement rows, manual spreadsheet adjustments, accruals, reclasses, exclusions, or allocation formulas that were not disclosed to the tenant. A mismatch is not automatically an overcharge, because legitimate adjustments may exist. It is still a serious audit signal because the tenant cannot verify the billed amount unless the landlord ties the statement total to the supporting accounting records. This rule treats the GL as the backup source and compares it with the statement amount so unexplained differences are identified before the tenant pays or waives review rights.

A CAM statement should tie to its accounting support. If the GL and statement do not reconcile, the tenant needs an explanation before accepting the billed total.

How we detect

  1. 1

    CAMAudit totals GL entries by category, account, and recovery pool, then compares those subtotals against the amounts shown on the CAM reconciliation statement.

  2. 2

    CAMAudit applies tolerance for rounding and minor formatting differences, but flags material gaps where the statement amount exceeds or falls below the supporting ledger total.

  3. 3

    CAMAudit reports the category, statement amount, GL-supported amount, variance, and available references so the tenant can request missing schedules, reclass support, or adjustment details.

Real-world example

A retail center CAM statement billed $318,250 in recoverable operating expenses. The GL support provided to the tenant totaled $304,100 after excluding non-recoverable accounts. CAMAudit flagged the $14,150 mismatch because no adjustment schedule explained why the statement total exceeded the ledger support.

Frequently asked questions

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Recovery of past CAM overcharges depends on your specific lease terms, including any audit rights deadlines or 'binding and conclusive' provisions, and on applicable state law.

State statute of limitations periods apply to written contracts and range from 3 to 10 years. Your actual lookback window may be shorter based on your lease.

CAMAudit is a document analysis platform, not a law firm, and nothing on this site constitutes legal advice. Consult a licensed real estate attorney before initiating any dispute or legal proceeding.

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