Finding 2023-002 AL Number and Title: Financial Assessment Subsystem – Reporting – Noncompliance and
Significant Deficiency
Criteria: HUD regulations and federal requirements mandate timely submission of the Financial Assessment
Subsystem for Public Housing Agencies (FASSPHA). The submission of the FASSPHA is critical for ensuring
compliance, enabling oversight, and facilitating the allocation of federal funding.
Condition: It was identified during the audit that the Authority did not meet the prescribed deadlines for submitting
the FASSPHA reports to federal agencies.
Cause: The failure to meet reporting deadlines can be attributed to a combination of factors, including major staff
turnover, which led to a loss of institutional knowledge and expertise critical for the preparation and submission of
these reports. Additionally, a change in auditor who had been instrumental in ensuring timely submissions in the
past, with the new auditor becoming unreachable, further exacerbating the situation. These challenges were
compounded by inefficiencies in the Authority’s internal processes for report preparation and submission.
Effect or Potential Effect: The failure to submit these reports on time undermines the Authority's compliance with
federal regulations, potentially affecting its eligibility for future funding and leading to reputational damage. It may also delay financial and operational decisions by HUD that depend on the analysis of these reports.
Questioned Costs: None.
Context: This lapse was identified against a backdrop of the Authority traditionally maintaining a good track record
with reporting. The recent delays mark a departure from their usual compliance practices and have occurred amidst
organizational changes and challenges, including staff turnover and procedural adjustments within the finance
department.
Recommendation: To mitigate this issue, it is recommended that the Authority: (1) Prioritize the recruitment and
training of new staff to fill critical roles, ensuring they are well-versed in HUD reporting requirements; (2) Establish
a contingency plan for maintaining continuity of operations in the event of key personnel turnover or unavailability;
and (3) Revise and streamline internal reporting processes to improve efficiency and reliability in meeting HUD's
reporting deadlines.
Responsible Official's Response and Corrective Action Planned: Management acknowledges the audit findings and
is committed to taking corrective actions.
Finding 2023-002 AL Number and Title: Financial Assessment Subsystem – Reporting – Noncompliance and
Significant Deficiency
Criteria: HUD regulations and federal requirements mandate timely submission of the Financial Assessment
Subsystem for Public Housing Agencies (FASSPHA). The submission of the FASSPHA is critical for ensuring
compliance, enabling oversight, and facilitating the allocation of federal funding.
Condition: It was identified during the audit that the Authority did not meet the prescribed deadlines for submitting
the FASSPHA reports to federal agencies.
Cause: The failure to meet reporting deadlines can be attributed to a combination of factors, including major staff
turnover, which led to a loss of institutional knowledge and expertise critical for the preparation and submission of
these reports. Additionally, a change in auditor who had been instrumental in ensuring timely submissions in the
past, with the new auditor becoming unreachable, further exacerbating the situation. These challenges were
compounded by inefficiencies in the Authority’s internal processes for report preparation and submission.
Effect or Potential Effect: The failure to submit these reports on time undermines the Authority's compliance with
federal regulations, potentially affecting its eligibility for future funding and leading to reputational damage. It may also delay financial and operational decisions by HUD that depend on the analysis of these reports.
Questioned Costs: None.
Context: This lapse was identified against a backdrop of the Authority traditionally maintaining a good track record
with reporting. The recent delays mark a departure from their usual compliance practices and have occurred amidst
organizational changes and challenges, including staff turnover and procedural adjustments within the finance
department.
Recommendation: To mitigate this issue, it is recommended that the Authority: (1) Prioritize the recruitment and
training of new staff to fill critical roles, ensuring they are well-versed in HUD reporting requirements; (2) Establish
a contingency plan for maintaining continuity of operations in the event of key personnel turnover or unavailability;
and (3) Revise and streamline internal reporting processes to improve efficiency and reliability in meeting HUD's
reporting deadlines.
Responsible Official's Response and Corrective Action Planned: Management acknowledges the audit findings and
is committed to taking corrective actions.
Finding 2023-002 AL Number and Title: Financial Assessment Subsystem – Reporting – Noncompliance and
Significant Deficiency
Criteria: HUD regulations and federal requirements mandate timely submission of the Financial Assessment
Subsystem for Public Housing Agencies (FASSPHA). The submission of the FASSPHA is critical for ensuring
compliance, enabling oversight, and facilitating the allocation of federal funding.
Condition: It was identified during the audit that the Authority did not meet the prescribed deadlines for submitting
the FASSPHA reports to federal agencies.
Cause: The failure to meet reporting deadlines can be attributed to a combination of factors, including major staff
turnover, which led to a loss of institutional knowledge and expertise critical for the preparation and submission of
these reports. Additionally, a change in auditor who had been instrumental in ensuring timely submissions in the
past, with the new auditor becoming unreachable, further exacerbating the situation. These challenges were
compounded by inefficiencies in the Authority’s internal processes for report preparation and submission.
Effect or Potential Effect: The failure to submit these reports on time undermines the Authority's compliance with
federal regulations, potentially affecting its eligibility for future funding and leading to reputational damage. It may also delay financial and operational decisions by HUD that depend on the analysis of these reports.
Questioned Costs: None.
Context: This lapse was identified against a backdrop of the Authority traditionally maintaining a good track record
with reporting. The recent delays mark a departure from their usual compliance practices and have occurred amidst
organizational changes and challenges, including staff turnover and procedural adjustments within the finance
department.
Recommendation: To mitigate this issue, it is recommended that the Authority: (1) Prioritize the recruitment and
training of new staff to fill critical roles, ensuring they are well-versed in HUD reporting requirements; (2) Establish
a contingency plan for maintaining continuity of operations in the event of key personnel turnover or unavailability;
and (3) Revise and streamline internal reporting processes to improve efficiency and reliability in meeting HUD's
reporting deadlines.
Responsible Official's Response and Corrective Action Planned: Management acknowledges the audit findings and
is committed to taking corrective actions.
Finding 2023-002 AL Number and Title: Financial Assessment Subsystem – Reporting – Noncompliance and
Significant Deficiency
Criteria: HUD regulations and federal requirements mandate timely submission of the Financial Assessment
Subsystem for Public Housing Agencies (FASSPHA). The submission of the FASSPHA is critical for ensuring
compliance, enabling oversight, and facilitating the allocation of federal funding.
Condition: It was identified during the audit that the Authority did not meet the prescribed deadlines for submitting
the FASSPHA reports to federal agencies.
Cause: The failure to meet reporting deadlines can be attributed to a combination of factors, including major staff
turnover, which led to a loss of institutional knowledge and expertise critical for the preparation and submission of
these reports. Additionally, a change in auditor who had been instrumental in ensuring timely submissions in the
past, with the new auditor becoming unreachable, further exacerbating the situation. These challenges were
compounded by inefficiencies in the Authority’s internal processes for report preparation and submission.
Effect or Potential Effect: The failure to submit these reports on time undermines the Authority's compliance with
federal regulations, potentially affecting its eligibility for future funding and leading to reputational damage. It may also delay financial and operational decisions by HUD that depend on the analysis of these reports.
Questioned Costs: None.
Context: This lapse was identified against a backdrop of the Authority traditionally maintaining a good track record
with reporting. The recent delays mark a departure from their usual compliance practices and have occurred amidst
organizational changes and challenges, including staff turnover and procedural adjustments within the finance
department.
Recommendation: To mitigate this issue, it is recommended that the Authority: (1) Prioritize the recruitment and
training of new staff to fill critical roles, ensuring they are well-versed in HUD reporting requirements; (2) Establish
a contingency plan for maintaining continuity of operations in the event of key personnel turnover or unavailability;
and (3) Revise and streamline internal reporting processes to improve efficiency and reliability in meeting HUD's
reporting deadlines.
Responsible Official's Response and Corrective Action Planned: Management acknowledges the audit findings and
is committed to taking corrective actions.