The Integration is still in beta form, it seems.
Things that don't work / or aren't really working properly:
Folders within Hudo KB do not sync properly as FAQ's.
If it is a subfolder syncing over, the 'checkbox' for 'Use this FAQ List for grouping other FAQ Lists' should be checked. Also, the appropriate FAQ list (folder) that it is under should be selected in 'FAQ Group.'
In the configuration, you should also be able to configure:
Folder to FAQ list mapping.
It would be nice to be able to select if you want that FAQ list indexed by AI (its a setting available in HALO for the FAQ list, however, Halo should make that easier to modify from their sid,e which would make it easier to do this outside of the integration)