Audit 19402

FY End
2022-06-30
Total Expended
$20.51M
Findings
12
Programs
8
Year: 2022 Accepted: 2023-03-30

Organization Exclusion Status:

Checking exclusion status...

Findings

ID Ref Severity Repeat Requirement
21368 2022-001 Material Weakness - N
21369 2022-002 Significant Deficiency - N
21370 2022-003 Significant Deficiency - N
21371 2022-001 Material Weakness - N
21372 2022-002 Significant Deficiency - N
21373 2022-003 Significant Deficiency - N
597810 2022-001 Material Weakness - N
597811 2022-002 Significant Deficiency - N
597812 2022-003 Significant Deficiency - N
597813 2022-001 Material Weakness - N
597814 2022-002 Significant Deficiency - N
597815 2022-003 Significant Deficiency - N

Contacts

Name Title Type
PDNMCJ9KAEA6 Aida Nu?ez Auditee
6104398678 Mandy Merchant Auditor
No contacts on file

Notes to SEFA

Title: BASIS OF PRESENTATION Accounting Policies: Expenditures reported on the Schedule are reported on the accrual basis of accounting. Such expenditures are recognized following the cost principles contained in the Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement. De Minimis Rate Used: N Rate Explanation: The Authority has elected not to use the 10% de minimis indirect cost rate as allowed under the Uniform Guidance. The accompanying schedule of expenditures of federal awards (the Schedule) includes the federal award activity of the Authority under programs of the federal government for the year ended June 30, 2022. The information in this Schedule is presented in accordance with the requirements of 2 CFR Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance). Because the Schedule presents only a selected portion of the operations of the Authority, it is not intended to and does not present the financial position, changes in net position, or cash flows of the Authority.
Title: NONCASH FEDERAL ASSISTANCE Accounting Policies: Expenditures reported on the Schedule are reported on the accrual basis of accounting. Such expenditures are recognized following the cost principles contained in the Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement. De Minimis Rate Used: N Rate Explanation: The Authority has elected not to use the 10% de minimis indirect cost rate as allowed under the Uniform Guidance. The Authority did not receive any noncash federal assistance for the year ended June 30, 2022.
Title: LOAN GUARANTEES Accounting Policies: Expenditures reported on the Schedule are reported on the accrual basis of accounting. Such expenditures are recognized following the cost principles contained in the Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement. De Minimis Rate Used: N Rate Explanation: The Authority has elected not to use the 10% de minimis indirect cost rate as allowed under the Uniform Guidance. At June 30, 2022, the Authority is not the guarantor of any loans outstanding other than those disclosed in the basic financial statements.

Finding Details

2022 ? 001 Housing Choice Voucher Program QC Inspections Federal Agency: U.S. Department of Housing and Urban Development Federal Program Name: Housing Choice Voucher Program Assistance Listing Number: 14.871 Award Period: July 1, 2021 ? June 30, 2022 Type of Finding: Material Weakness, Material Noncompliance (Qualified Opinion) Criteria or specific requirement: Per chapter 10 of the HCVP Guidebook, completed HQS inspections included in the QC inspection sample must be no older than 3 months at the time of the reinspection. Condition: During our testing of 8 files selected for QC Testing, we noted the following: 7 out of 8 QC re-inspections were not completed within three months of the original inspection. Questioned Costs: Unknown. Context: During our testing of 8 files selected for QC Testing, we noted the following: 7 out of 8 QC reinspections were not completed within three months of the original inspection. Cause: Per discussion with Aida Nunez, Director of Housing Management, said that due to Covid, it was difficult to get a QC inspector within the three-month time period. Effect: The Authority is not in compliance with program requirements over QC inspections. Recommendation: We recommend the Authority review their procedures for performing QC inspections in a timely manner. Views of responsible officials: There is no disagreement with the audit finding.
2022 ? 002 Housing Choice Voucher Program Wait List Testing ? New Tenants Federal Agency: U.S. Department of Housing and Urban Development Federal Program Name: Housing Choice Voucher Program Assistance Listing Number: 14.871 Federal Award Identification Number and Year: PA004 (various funding increments active during period 7/1/21-6/30/22) Award Period: July 1, 2021 ? June 30, 2022 Type of Finding: Significant Deficiency in Internal Control over Compliance, Other Matters Criteria or specific requirement: Per the Authority?s administrative plan, applicants are placed on the waiting list based on any preference and then by the date and time of their initial application. Per the Authority?s administrative plan, AHA will notify the family when selected from the waiting list via a notification letter. Condition: During our testing of 25 files for wait list criteria, we noted the following: 1 of 25 files had an application that was not date stamped. 1 of 25 files was missing a wait list selection letter. Questioned Costs: Unknown. Context: In a statistically valid sample, during our testing of 25 files for wait list criteria, we noted the following: 1 of 25 files had an application that was not date stamped; 1 of 25 files was missing a wait list selection letter. Cause: The Authority does not have controls in place to ensure it is meeting Wait List Testing ? New Tenants requirements set by HUD. Effect: The Authority is not in compliance with their administrative plan regarding the waiting list. Repeat Finding: Not a repeat. Recommendation: We recommend the Authority review their processes for maintaining documentation for tenant selection from the waiting list. Views of responsible officials: There is no disagreement with the audit finding.
2022 ? 003 Housing Choice Voucher Program Eligibility and HAP Payment Testing Federal Agency: U.S. Department of Housing and Urban Development Federal Program Name: Housing Choice Voucher Program Assistance Listing Number: 14.871 Federal Award Identification Number and Year: PA004 (various funding increments active during period 7/1/21-6/30/22) Award Period: July 1, 2021 ? June 30, 2022 Type of Finding: Significant Deficiency in Internal Control over Compliance, Other Matters Criteria or specific requirement: Per 24 CFR Part 908 and 24 CFR section 982.158, the Authority is required to electronically submit the HUD-50058 form to HUD each time they complete an admission, annual reexamination, interim reexamination, portability move-in, or other change of unit for a family (82-L4). Per 24 CFR section 982.158 and 24 CFR Part 982, Subpart K, PHA must pay a monthly HAP on behalf of the family that corresponds with the amount on line 12u of the HUD-50058. This HAP amount must be reflected on the HAP contract and HAP register. Per 24 CFR section 982.516, for both family income examinations and reexaminations, obtain and document in the family file third party verification of (1) reported family annual income; (2) the value of assets; (3) expenses related to deductions from annual income; and (4) other factors that affect the determination of adjusted income or income-based rent. Condition: During our testing of 40 tenant files for eligibility criteria, we noted the following: 1 of 40 tenant files had an incorrect HAP amount uploaded in the PIC system. 1 of 40 tenant files missing an up-to-date HAP Amendment Letter. 2 of 40 tenant files missing proper 3rd party income verification. During our testing of 40 tenant files for HAP Payment criteria, we noted 1 of 40 tenant files wherein the HAP amount reported on the HUD-50058 did not match that found on the HAP Contract Amendment. Questioned Costs: $106 Context: In a statistically valid sample, during our testing of 40 tenant files for eligibility criteria, we noted the following: 1 of 40 tenant files had an incorrect HAP amount uploaded in the PIC system. 1 of 40 tenant files missing an up-to-date HAP Amendment Letter. 2 of 40 tenant files missing proper 3rd party income verification. In a statistically valid sample, during our testing of 40 tenant files for HAP Payment criteria, we noted 1 of 40 tenant files wherein the HAP amount reported on the HUD-50058 did not match that found on the HAP Contract Amendment. Cause: The authority does not have controls in place to ensure it is meeting Eligibility and HAP Payment Testing requirements set by HUD. Effect: The authority is not in compliance with HUD guidelines over eligibility or HAP payments. Repeat Finding: Not a repeat. Recommendation: We recommend the Authority review their process for maintaining 3rd party verification of income, for uploading data to PIC, and for generating HAP amendment letters. Views of responsible officials: There is no disagreement with the audit finding.
2022 ? 001 Housing Choice Voucher Program QC Inspections Federal Agency: U.S. Department of Housing and Urban Development Federal Program Name: Housing Choice Voucher Program Assistance Listing Number: 14.871 Award Period: July 1, 2021 ? June 30, 2022 Type of Finding: Material Weakness, Material Noncompliance (Qualified Opinion) Criteria or specific requirement: Per chapter 10 of the HCVP Guidebook, completed HQS inspections included in the QC inspection sample must be no older than 3 months at the time of the reinspection. Condition: During our testing of 8 files selected for QC Testing, we noted the following: 7 out of 8 QC re-inspections were not completed within three months of the original inspection. Questioned Costs: Unknown. Context: During our testing of 8 files selected for QC Testing, we noted the following: 7 out of 8 QC reinspections were not completed within three months of the original inspection. Cause: Per discussion with Aida Nunez, Director of Housing Management, said that due to Covid, it was difficult to get a QC inspector within the three-month time period. Effect: The Authority is not in compliance with program requirements over QC inspections. Recommendation: We recommend the Authority review their procedures for performing QC inspections in a timely manner. Views of responsible officials: There is no disagreement with the audit finding.
2022 ? 002 Housing Choice Voucher Program Wait List Testing ? New Tenants Federal Agency: U.S. Department of Housing and Urban Development Federal Program Name: Housing Choice Voucher Program Assistance Listing Number: 14.871 Federal Award Identification Number and Year: PA004 (various funding increments active during period 7/1/21-6/30/22) Award Period: July 1, 2021 ? June 30, 2022 Type of Finding: Significant Deficiency in Internal Control over Compliance, Other Matters Criteria or specific requirement: Per the Authority?s administrative plan, applicants are placed on the waiting list based on any preference and then by the date and time of their initial application. Per the Authority?s administrative plan, AHA will notify the family when selected from the waiting list via a notification letter. Condition: During our testing of 25 files for wait list criteria, we noted the following: 1 of 25 files had an application that was not date stamped. 1 of 25 files was missing a wait list selection letter. Questioned Costs: Unknown. Context: In a statistically valid sample, during our testing of 25 files for wait list criteria, we noted the following: 1 of 25 files had an application that was not date stamped; 1 of 25 files was missing a wait list selection letter. Cause: The Authority does not have controls in place to ensure it is meeting Wait List Testing ? New Tenants requirements set by HUD. Effect: The Authority is not in compliance with their administrative plan regarding the waiting list. Repeat Finding: Not a repeat. Recommendation: We recommend the Authority review their processes for maintaining documentation for tenant selection from the waiting list. Views of responsible officials: There is no disagreement with the audit finding.
2022 ? 003 Housing Choice Voucher Program Eligibility and HAP Payment Testing Federal Agency: U.S. Department of Housing and Urban Development Federal Program Name: Housing Choice Voucher Program Assistance Listing Number: 14.871 Federal Award Identification Number and Year: PA004 (various funding increments active during period 7/1/21-6/30/22) Award Period: July 1, 2021 ? June 30, 2022 Type of Finding: Significant Deficiency in Internal Control over Compliance, Other Matters Criteria or specific requirement: Per 24 CFR Part 908 and 24 CFR section 982.158, the Authority is required to electronically submit the HUD-50058 form to HUD each time they complete an admission, annual reexamination, interim reexamination, portability move-in, or other change of unit for a family (82-L4). Per 24 CFR section 982.158 and 24 CFR Part 982, Subpart K, PHA must pay a monthly HAP on behalf of the family that corresponds with the amount on line 12u of the HUD-50058. This HAP amount must be reflected on the HAP contract and HAP register. Per 24 CFR section 982.516, for both family income examinations and reexaminations, obtain and document in the family file third party verification of (1) reported family annual income; (2) the value of assets; (3) expenses related to deductions from annual income; and (4) other factors that affect the determination of adjusted income or income-based rent. Condition: During our testing of 40 tenant files for eligibility criteria, we noted the following: 1 of 40 tenant files had an incorrect HAP amount uploaded in the PIC system. 1 of 40 tenant files missing an up-to-date HAP Amendment Letter. 2 of 40 tenant files missing proper 3rd party income verification. During our testing of 40 tenant files for HAP Payment criteria, we noted 1 of 40 tenant files wherein the HAP amount reported on the HUD-50058 did not match that found on the HAP Contract Amendment. Questioned Costs: $106 Context: In a statistically valid sample, during our testing of 40 tenant files for eligibility criteria, we noted the following: 1 of 40 tenant files had an incorrect HAP amount uploaded in the PIC system. 1 of 40 tenant files missing an up-to-date HAP Amendment Letter. 2 of 40 tenant files missing proper 3rd party income verification. In a statistically valid sample, during our testing of 40 tenant files for HAP Payment criteria, we noted 1 of 40 tenant files wherein the HAP amount reported on the HUD-50058 did not match that found on the HAP Contract Amendment. Cause: The authority does not have controls in place to ensure it is meeting Eligibility and HAP Payment Testing requirements set by HUD. Effect: The authority is not in compliance with HUD guidelines over eligibility or HAP payments. Repeat Finding: Not a repeat. Recommendation: We recommend the Authority review their process for maintaining 3rd party verification of income, for uploading data to PIC, and for generating HAP amendment letters. Views of responsible officials: There is no disagreement with the audit finding.
2022 ? 001 Housing Choice Voucher Program QC Inspections Federal Agency: U.S. Department of Housing and Urban Development Federal Program Name: Housing Choice Voucher Program Assistance Listing Number: 14.871 Award Period: July 1, 2021 ? June 30, 2022 Type of Finding: Material Weakness, Material Noncompliance (Qualified Opinion) Criteria or specific requirement: Per chapter 10 of the HCVP Guidebook, completed HQS inspections included in the QC inspection sample must be no older than 3 months at the time of the reinspection. Condition: During our testing of 8 files selected for QC Testing, we noted the following: 7 out of 8 QC re-inspections were not completed within three months of the original inspection. Questioned Costs: Unknown. Context: During our testing of 8 files selected for QC Testing, we noted the following: 7 out of 8 QC reinspections were not completed within three months of the original inspection. Cause: Per discussion with Aida Nunez, Director of Housing Management, said that due to Covid, it was difficult to get a QC inspector within the three-month time period. Effect: The Authority is not in compliance with program requirements over QC inspections. Recommendation: We recommend the Authority review their procedures for performing QC inspections in a timely manner. Views of responsible officials: There is no disagreement with the audit finding.
2022 ? 002 Housing Choice Voucher Program Wait List Testing ? New Tenants Federal Agency: U.S. Department of Housing and Urban Development Federal Program Name: Housing Choice Voucher Program Assistance Listing Number: 14.871 Federal Award Identification Number and Year: PA004 (various funding increments active during period 7/1/21-6/30/22) Award Period: July 1, 2021 ? June 30, 2022 Type of Finding: Significant Deficiency in Internal Control over Compliance, Other Matters Criteria or specific requirement: Per the Authority?s administrative plan, applicants are placed on the waiting list based on any preference and then by the date and time of their initial application. Per the Authority?s administrative plan, AHA will notify the family when selected from the waiting list via a notification letter. Condition: During our testing of 25 files for wait list criteria, we noted the following: 1 of 25 files had an application that was not date stamped. 1 of 25 files was missing a wait list selection letter. Questioned Costs: Unknown. Context: In a statistically valid sample, during our testing of 25 files for wait list criteria, we noted the following: 1 of 25 files had an application that was not date stamped; 1 of 25 files was missing a wait list selection letter. Cause: The Authority does not have controls in place to ensure it is meeting Wait List Testing ? New Tenants requirements set by HUD. Effect: The Authority is not in compliance with their administrative plan regarding the waiting list. Repeat Finding: Not a repeat. Recommendation: We recommend the Authority review their processes for maintaining documentation for tenant selection from the waiting list. Views of responsible officials: There is no disagreement with the audit finding.
2022 ? 003 Housing Choice Voucher Program Eligibility and HAP Payment Testing Federal Agency: U.S. Department of Housing and Urban Development Federal Program Name: Housing Choice Voucher Program Assistance Listing Number: 14.871 Federal Award Identification Number and Year: PA004 (various funding increments active during period 7/1/21-6/30/22) Award Period: July 1, 2021 ? June 30, 2022 Type of Finding: Significant Deficiency in Internal Control over Compliance, Other Matters Criteria or specific requirement: Per 24 CFR Part 908 and 24 CFR section 982.158, the Authority is required to electronically submit the HUD-50058 form to HUD each time they complete an admission, annual reexamination, interim reexamination, portability move-in, or other change of unit for a family (82-L4). Per 24 CFR section 982.158 and 24 CFR Part 982, Subpart K, PHA must pay a monthly HAP on behalf of the family that corresponds with the amount on line 12u of the HUD-50058. This HAP amount must be reflected on the HAP contract and HAP register. Per 24 CFR section 982.516, for both family income examinations and reexaminations, obtain and document in the family file third party verification of (1) reported family annual income; (2) the value of assets; (3) expenses related to deductions from annual income; and (4) other factors that affect the determination of adjusted income or income-based rent. Condition: During our testing of 40 tenant files for eligibility criteria, we noted the following: 1 of 40 tenant files had an incorrect HAP amount uploaded in the PIC system. 1 of 40 tenant files missing an up-to-date HAP Amendment Letter. 2 of 40 tenant files missing proper 3rd party income verification. During our testing of 40 tenant files for HAP Payment criteria, we noted 1 of 40 tenant files wherein the HAP amount reported on the HUD-50058 did not match that found on the HAP Contract Amendment. Questioned Costs: $106 Context: In a statistically valid sample, during our testing of 40 tenant files for eligibility criteria, we noted the following: 1 of 40 tenant files had an incorrect HAP amount uploaded in the PIC system. 1 of 40 tenant files missing an up-to-date HAP Amendment Letter. 2 of 40 tenant files missing proper 3rd party income verification. In a statistically valid sample, during our testing of 40 tenant files for HAP Payment criteria, we noted 1 of 40 tenant files wherein the HAP amount reported on the HUD-50058 did not match that found on the HAP Contract Amendment. Cause: The authority does not have controls in place to ensure it is meeting Eligibility and HAP Payment Testing requirements set by HUD. Effect: The authority is not in compliance with HUD guidelines over eligibility or HAP payments. Repeat Finding: Not a repeat. Recommendation: We recommend the Authority review their process for maintaining 3rd party verification of income, for uploading data to PIC, and for generating HAP amendment letters. Views of responsible officials: There is no disagreement with the audit finding.
2022 ? 001 Housing Choice Voucher Program QC Inspections Federal Agency: U.S. Department of Housing and Urban Development Federal Program Name: Housing Choice Voucher Program Assistance Listing Number: 14.871 Award Period: July 1, 2021 ? June 30, 2022 Type of Finding: Material Weakness, Material Noncompliance (Qualified Opinion) Criteria or specific requirement: Per chapter 10 of the HCVP Guidebook, completed HQS inspections included in the QC inspection sample must be no older than 3 months at the time of the reinspection. Condition: During our testing of 8 files selected for QC Testing, we noted the following: 7 out of 8 QC re-inspections were not completed within three months of the original inspection. Questioned Costs: Unknown. Context: During our testing of 8 files selected for QC Testing, we noted the following: 7 out of 8 QC reinspections were not completed within three months of the original inspection. Cause: Per discussion with Aida Nunez, Director of Housing Management, said that due to Covid, it was difficult to get a QC inspector within the three-month time period. Effect: The Authority is not in compliance with program requirements over QC inspections. Recommendation: We recommend the Authority review their procedures for performing QC inspections in a timely manner. Views of responsible officials: There is no disagreement with the audit finding.
2022 ? 002 Housing Choice Voucher Program Wait List Testing ? New Tenants Federal Agency: U.S. Department of Housing and Urban Development Federal Program Name: Housing Choice Voucher Program Assistance Listing Number: 14.871 Federal Award Identification Number and Year: PA004 (various funding increments active during period 7/1/21-6/30/22) Award Period: July 1, 2021 ? June 30, 2022 Type of Finding: Significant Deficiency in Internal Control over Compliance, Other Matters Criteria or specific requirement: Per the Authority?s administrative plan, applicants are placed on the waiting list based on any preference and then by the date and time of their initial application. Per the Authority?s administrative plan, AHA will notify the family when selected from the waiting list via a notification letter. Condition: During our testing of 25 files for wait list criteria, we noted the following: 1 of 25 files had an application that was not date stamped. 1 of 25 files was missing a wait list selection letter. Questioned Costs: Unknown. Context: In a statistically valid sample, during our testing of 25 files for wait list criteria, we noted the following: 1 of 25 files had an application that was not date stamped; 1 of 25 files was missing a wait list selection letter. Cause: The Authority does not have controls in place to ensure it is meeting Wait List Testing ? New Tenants requirements set by HUD. Effect: The Authority is not in compliance with their administrative plan regarding the waiting list. Repeat Finding: Not a repeat. Recommendation: We recommend the Authority review their processes for maintaining documentation for tenant selection from the waiting list. Views of responsible officials: There is no disagreement with the audit finding.
2022 ? 003 Housing Choice Voucher Program Eligibility and HAP Payment Testing Federal Agency: U.S. Department of Housing and Urban Development Federal Program Name: Housing Choice Voucher Program Assistance Listing Number: 14.871 Federal Award Identification Number and Year: PA004 (various funding increments active during period 7/1/21-6/30/22) Award Period: July 1, 2021 ? June 30, 2022 Type of Finding: Significant Deficiency in Internal Control over Compliance, Other Matters Criteria or specific requirement: Per 24 CFR Part 908 and 24 CFR section 982.158, the Authority is required to electronically submit the HUD-50058 form to HUD each time they complete an admission, annual reexamination, interim reexamination, portability move-in, or other change of unit for a family (82-L4). Per 24 CFR section 982.158 and 24 CFR Part 982, Subpart K, PHA must pay a monthly HAP on behalf of the family that corresponds with the amount on line 12u of the HUD-50058. This HAP amount must be reflected on the HAP contract and HAP register. Per 24 CFR section 982.516, for both family income examinations and reexaminations, obtain and document in the family file third party verification of (1) reported family annual income; (2) the value of assets; (3) expenses related to deductions from annual income; and (4) other factors that affect the determination of adjusted income or income-based rent. Condition: During our testing of 40 tenant files for eligibility criteria, we noted the following: 1 of 40 tenant files had an incorrect HAP amount uploaded in the PIC system. 1 of 40 tenant files missing an up-to-date HAP Amendment Letter. 2 of 40 tenant files missing proper 3rd party income verification. During our testing of 40 tenant files for HAP Payment criteria, we noted 1 of 40 tenant files wherein the HAP amount reported on the HUD-50058 did not match that found on the HAP Contract Amendment. Questioned Costs: $106 Context: In a statistically valid sample, during our testing of 40 tenant files for eligibility criteria, we noted the following: 1 of 40 tenant files had an incorrect HAP amount uploaded in the PIC system. 1 of 40 tenant files missing an up-to-date HAP Amendment Letter. 2 of 40 tenant files missing proper 3rd party income verification. In a statistically valid sample, during our testing of 40 tenant files for HAP Payment criteria, we noted 1 of 40 tenant files wherein the HAP amount reported on the HUD-50058 did not match that found on the HAP Contract Amendment. Cause: The authority does not have controls in place to ensure it is meeting Eligibility and HAP Payment Testing requirements set by HUD. Effect: The authority is not in compliance with HUD guidelines over eligibility or HAP payments. Repeat Finding: Not a repeat. Recommendation: We recommend the Authority review their process for maintaining 3rd party verification of income, for uploading data to PIC, and for generating HAP amendment letters. Views of responsible officials: There is no disagreement with the audit finding.