FAC Explorer

Audit 323315

FY End
2023-12-31
Total Expended
$9.21M
Findings
8
Programs
4
Organization: Petersburg Redevelopment and Housing Authority (VA)
Year: 2023 Accepted: 2024-09-30
Auditor: Dooley & Vicars CPAS LLP

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
501055 2023-001 Significant Deficiency - N
501056 2023-002 Significant Deficiency - E
501057 2023-001 Significant Deficiency - N
501058 2023-002 Significant Deficiency - E
1077497 2023-001 Significant Deficiency - N
1077498 2023-002 Significant Deficiency - E
1077499 2023-001 Significant Deficiency - N
1077500 2023-002 Significant Deficiency - E

Programs

ALN Program Spent Major Findings
14.850 Public Housing Operating Fund $1.03M - 0
14.872 Public Housing Capital Fund $594,054 - 0
14.239 Home Investment Partnerships Program $107,980 - 0
14.871 Section 8 Housing Choice Vouchers $78,017 Yes 2

Contacts

Name Title Type
R6H7JMF4K2H5 Latysha Carpenter Auditee
8047332200 Jake Dooley Auditor
No contacts on file

Notes to SEFA

Title: Note 1: Basis of Accounting Accounting Policies: The accompanying Schedule of Financial Assistance is prepared on the accrual basis of accounting. Theinformation on this Schedule is presented in accordance with the requirements of Title 2 U.S. Code of FederalRegulations Part 200, Uniform Administrative Requirements, Cost Principals, and Audit Requirements forFederal Awards (Uniform Guidance). Because the Schedule presents only a selected portion of theoperations of the Authority, it is not intended to and does not present the financial position, changes in netposition, or cash flows of the Authority. De Minimis Rate Used: N Rate Explanation: The Authority has not elected to use the 10-percent de minimis indirect cost rate as allowed under Uniform Guidance. The accompanying Schedule of Financial Assistance is prepared on the accrual basis of accounting. The information on this Schedule is presented in accordance with the requirements of Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principals, 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: Note 2: Major Programs Accounting Policies: The accompanying Schedule of Financial Assistance is prepared on the accrual basis of accounting. Theinformation on this Schedule is presented in accordance with the requirements of Title 2 U.S. Code of FederalRegulations Part 200, Uniform Administrative Requirements, Cost Principals, and Audit Requirements forFederal Awards (Uniform Guidance). Because the Schedule presents only a selected portion of theoperations of the Authority, it is not intended to and does not present the financial position, changes in netposition, or cash flows of the Authority. De Minimis Rate Used: N Rate Explanation: The Authority has not elected to use the 10-percent de minimis indirect cost rate as allowed under Uniform Guidance. The (*) to the right of a ALN identifies the grant as a major federal program as defined by the Uniform Guidance.
Title: Note 3: Award Balance Accounting Policies: The accompanying Schedule of Financial Assistance is prepared on the accrual basis of accounting. Theinformation on this Schedule is presented in accordance with the requirements of Title 2 U.S. Code of FederalRegulations Part 200, Uniform Administrative Requirements, Cost Principals, and Audit Requirements forFederal Awards (Uniform Guidance). Because the Schedule presents only a selected portion of theoperations of the Authority, it is not intended to and does not present the financial position, changes in netposition, or cash flows of the Authority. De Minimis Rate Used: N Rate Explanation: The Authority has not elected to use the 10-percent de minimis indirect cost rate as allowed under Uniform Guidance. On the Section 8 Vouchers/Certificate programs, the Authority receives annual funds based on an annual estimate of need. Unexpended grant funds are available to meet subsequent year HAP shortfalls.
Title: Note 4: Program Costs Accounting Policies: The accompanying Schedule of Financial Assistance is prepared on the accrual basis of accounting. Theinformation on this Schedule is presented in accordance with the requirements of Title 2 U.S. Code of FederalRegulations Part 200, Uniform Administrative Requirements, Cost Principals, and Audit Requirements forFederal Awards (Uniform Guidance). Because the Schedule presents only a selected portion of theoperations of the Authority, it is not intended to and does not present the financial position, changes in netposition, or cash flows of the Authority. De Minimis Rate Used: N Rate Explanation: The Authority has not elected to use the 10-percent de minimis indirect cost rate as allowed under Uniform Guidance. The amounts shown as current year expenditures represent only the federal portion of the actual program costs. Actual program costs, including the housing Authority's portion, may be more than shown.
Title: Note 5: Indirect Cost Allocation Accounting Policies: The accompanying Schedule of Financial Assistance is prepared on the accrual basis of accounting. Theinformation on this Schedule is presented in accordance with the requirements of Title 2 U.S. Code of FederalRegulations Part 200, Uniform Administrative Requirements, Cost Principals, and Audit Requirements forFederal Awards (Uniform Guidance). Because the Schedule presents only a selected portion of theoperations of the Authority, it is not intended to and does not present the financial position, changes in netposition, or cash flows of the Authority. De Minimis Rate Used: N Rate Explanation: The Authority has not elected to use the 10-percent de minimis indirect cost rate as allowed under Uniform Guidance. The Authority has not elected to use the 10-percent de minimis indirect cost rate as allowed under Uniform Guidance.

Finding Details

Finding 2023-001
Finding Reference: 2023-001 Federal Agency: US. Department of Housing and Urban Development Federal Program(s): Section 8 Housing Choice Vouchers ALN: 14.871 Category of Finding: Special Tests and Provisions (N) Type of Finding: Noncompliance; Significant Deficiency CONDITION: Based upon inspection of the PHA’s files and on discussions with management, the PHA failed to document biannual Housing Quality Standards (HQS) inspections for two units in accordance with the PHA’s Administrative Plan and HUD regulations. CRITERIA: PHAs are required to inspect units leased to Housing Choice Voucher program participants at least biannually and prepare unit inspection reports in accordance with 21 CFR 982.158(d). QUESTIONED COSTS: The amount of questioned costs could not be determined. CONTEXT: During audit fieldwork, 40 HAP contract files from a statistically valid sample were examined for compliance with annual HQS inspection requirements. Of the files examined, 2 files did not contain current biannual inspection reports. EFFECT: The Authority is not in compliance with federal regulations regarding HQS inspections and documentation. This could result in unallowable HAP payments to owners of units that do not meet required Housing Quality Standards. CAUSE: The overall cause was a lack of management oversight and quality control over this program. RECOMMENDATION: We recommend the PHA design and implement a corrective action plan that will assure compliance with the Uniform Guidance and the compliance supplement. MANAGEMENT’S RESPONSE See separately prepared Corrective Action Plan.
Finding 2023-002
Finding Reference: 2023-002 Federal Agency: US. Department of Housing and Urban Development Federal Program(s): Section 8 Housing Choice Vouchers ALN: 14.871 Category of Finding: Eligibility (E) Type of Finding: Noncompliance; Significant Deficiency CONDITION: The Authority’s Housing Choice Voucher program contains atleast one tenant whose income was not verified with current EIV Income Reports, as required by the PHA’s Administrative Plan and HUD regulations. CRITERIA: Tenants of the Housing Choice Voucher (HCV) program are required to be recertified biannually and on the interim basis in accordance with HUD regulations. Recertification guidelines require use of the Enterprise Income Verification (EIV) System to verify tenants’ reported incomes during biannual recertifications and within 120 days of admission into the HCV program. QUESTIONED COSTS: The amount of questioned costs could not be determined. CONTEXT: During audit fieldwork, 40 HAP contract files from a statistically valid sample were examined for compliance with EIV use requirements. Of the files examined, 1 file did not contain documentation that tenants’ reported income was verified with current EIV Income Reports within 120 days of admission into the HCV program. EFFECT: The PHA could be issuing incorrect housing assistance payments on behalf of tenants who are not paying the appropriate amount of rent per program regulations. CAUSE: The overall cause was a lack of effective management oversight and quality control over this program. RECOMMENDATION: We recommend the PHA design and implement a corrective action plan that will assure compliance with the Uniform Guidance and the compliance supplement. MANAGEMENT’S RESPONSE See separately prepared Corrective Action Plan.
Finding 2023-001
Finding Reference: 2023-001 Federal Agency: US. Department of Housing and Urban Development Federal Program(s): Section 8 Housing Choice Vouchers ALN: 14.871 Category of Finding: Special Tests and Provisions (N) Type of Finding: Noncompliance; Significant Deficiency CONDITION: Based upon inspection of the PHA’s files and on discussions with management, the PHA failed to document biannual Housing Quality Standards (HQS) inspections for two units in accordance with the PHA’s Administrative Plan and HUD regulations. CRITERIA: PHAs are required to inspect units leased to Housing Choice Voucher program participants at least biannually and prepare unit inspection reports in accordance with 21 CFR 982.158(d). QUESTIONED COSTS: The amount of questioned costs could not be determined. CONTEXT: During audit fieldwork, 40 HAP contract files from a statistically valid sample were examined for compliance with annual HQS inspection requirements. Of the files examined, 2 files did not contain current biannual inspection reports. EFFECT: The Authority is not in compliance with federal regulations regarding HQS inspections and documentation. This could result in unallowable HAP payments to owners of units that do not meet required Housing Quality Standards. CAUSE: The overall cause was a lack of management oversight and quality control over this program. RECOMMENDATION: We recommend the PHA design and implement a corrective action plan that will assure compliance with the Uniform Guidance and the compliance supplement. MANAGEMENT’S RESPONSE See separately prepared Corrective Action Plan.
Finding 2023-002
Finding Reference: 2023-002 Federal Agency: US. Department of Housing and Urban Development Federal Program(s): Section 8 Housing Choice Vouchers ALN: 14.871 Category of Finding: Eligibility (E) Type of Finding: Noncompliance; Significant Deficiency CONDITION: The Authority’s Housing Choice Voucher program contains atleast one tenant whose income was not verified with current EIV Income Reports, as required by the PHA’s Administrative Plan and HUD regulations. CRITERIA: Tenants of the Housing Choice Voucher (HCV) program are required to be recertified biannually and on the interim basis in accordance with HUD regulations. Recertification guidelines require use of the Enterprise Income Verification (EIV) System to verify tenants’ reported incomes during biannual recertifications and within 120 days of admission into the HCV program. QUESTIONED COSTS: The amount of questioned costs could not be determined. CONTEXT: During audit fieldwork, 40 HAP contract files from a statistically valid sample were examined for compliance with EIV use requirements. Of the files examined, 1 file did not contain documentation that tenants’ reported income was verified with current EIV Income Reports within 120 days of admission into the HCV program. EFFECT: The PHA could be issuing incorrect housing assistance payments on behalf of tenants who are not paying the appropriate amount of rent per program regulations. CAUSE: The overall cause was a lack of effective management oversight and quality control over this program. RECOMMENDATION: We recommend the PHA design and implement a corrective action plan that will assure compliance with the Uniform Guidance and the compliance supplement. MANAGEMENT’S RESPONSE See separately prepared Corrective Action Plan.
Finding 2023-001
Finding Reference: 2023-001 Federal Agency: US. Department of Housing and Urban Development Federal Program(s): Section 8 Housing Choice Vouchers ALN: 14.871 Category of Finding: Special Tests and Provisions (N) Type of Finding: Noncompliance; Significant Deficiency CONDITION: Based upon inspection of the PHA’s files and on discussions with management, the PHA failed to document biannual Housing Quality Standards (HQS) inspections for two units in accordance with the PHA’s Administrative Plan and HUD regulations. CRITERIA: PHAs are required to inspect units leased to Housing Choice Voucher program participants at least biannually and prepare unit inspection reports in accordance with 21 CFR 982.158(d). QUESTIONED COSTS: The amount of questioned costs could not be determined. CONTEXT: During audit fieldwork, 40 HAP contract files from a statistically valid sample were examined for compliance with annual HQS inspection requirements. Of the files examined, 2 files did not contain current biannual inspection reports. EFFECT: The Authority is not in compliance with federal regulations regarding HQS inspections and documentation. This could result in unallowable HAP payments to owners of units that do not meet required Housing Quality Standards. CAUSE: The overall cause was a lack of management oversight and quality control over this program. RECOMMENDATION: We recommend the PHA design and implement a corrective action plan that will assure compliance with the Uniform Guidance and the compliance supplement. MANAGEMENT’S RESPONSE See separately prepared Corrective Action Plan.
Finding 2023-002
Finding Reference: 2023-002 Federal Agency: US. Department of Housing and Urban Development Federal Program(s): Section 8 Housing Choice Vouchers ALN: 14.871 Category of Finding: Eligibility (E) Type of Finding: Noncompliance; Significant Deficiency CONDITION: The Authority’s Housing Choice Voucher program contains atleast one tenant whose income was not verified with current EIV Income Reports, as required by the PHA’s Administrative Plan and HUD regulations. CRITERIA: Tenants of the Housing Choice Voucher (HCV) program are required to be recertified biannually and on the interim basis in accordance with HUD regulations. Recertification guidelines require use of the Enterprise Income Verification (EIV) System to verify tenants’ reported incomes during biannual recertifications and within 120 days of admission into the HCV program. QUESTIONED COSTS: The amount of questioned costs could not be determined. CONTEXT: During audit fieldwork, 40 HAP contract files from a statistically valid sample were examined for compliance with EIV use requirements. Of the files examined, 1 file did not contain documentation that tenants’ reported income was verified with current EIV Income Reports within 120 days of admission into the HCV program. EFFECT: The PHA could be issuing incorrect housing assistance payments on behalf of tenants who are not paying the appropriate amount of rent per program regulations. CAUSE: The overall cause was a lack of effective management oversight and quality control over this program. RECOMMENDATION: We recommend the PHA design and implement a corrective action plan that will assure compliance with the Uniform Guidance and the compliance supplement. MANAGEMENT’S RESPONSE See separately prepared Corrective Action Plan.
Finding 2023-001
Finding Reference: 2023-001 Federal Agency: US. Department of Housing and Urban Development Federal Program(s): Section 8 Housing Choice Vouchers ALN: 14.871 Category of Finding: Special Tests and Provisions (N) Type of Finding: Noncompliance; Significant Deficiency CONDITION: Based upon inspection of the PHA’s files and on discussions with management, the PHA failed to document biannual Housing Quality Standards (HQS) inspections for two units in accordance with the PHA’s Administrative Plan and HUD regulations. CRITERIA: PHAs are required to inspect units leased to Housing Choice Voucher program participants at least biannually and prepare unit inspection reports in accordance with 21 CFR 982.158(d). QUESTIONED COSTS: The amount of questioned costs could not be determined. CONTEXT: During audit fieldwork, 40 HAP contract files from a statistically valid sample were examined for compliance with annual HQS inspection requirements. Of the files examined, 2 files did not contain current biannual inspection reports. EFFECT: The Authority is not in compliance with federal regulations regarding HQS inspections and documentation. This could result in unallowable HAP payments to owners of units that do not meet required Housing Quality Standards. CAUSE: The overall cause was a lack of management oversight and quality control over this program. RECOMMENDATION: We recommend the PHA design and implement a corrective action plan that will assure compliance with the Uniform Guidance and the compliance supplement. MANAGEMENT’S RESPONSE See separately prepared Corrective Action Plan.
Finding 2023-002
Finding Reference: 2023-002 Federal Agency: US. Department of Housing and Urban Development Federal Program(s): Section 8 Housing Choice Vouchers ALN: 14.871 Category of Finding: Eligibility (E) Type of Finding: Noncompliance; Significant Deficiency CONDITION: The Authority’s Housing Choice Voucher program contains atleast one tenant whose income was not verified with current EIV Income Reports, as required by the PHA’s Administrative Plan and HUD regulations. CRITERIA: Tenants of the Housing Choice Voucher (HCV) program are required to be recertified biannually and on the interim basis in accordance with HUD regulations. Recertification guidelines require use of the Enterprise Income Verification (EIV) System to verify tenants’ reported incomes during biannual recertifications and within 120 days of admission into the HCV program. QUESTIONED COSTS: The amount of questioned costs could not be determined. CONTEXT: During audit fieldwork, 40 HAP contract files from a statistically valid sample were examined for compliance with EIV use requirements. Of the files examined, 1 file did not contain documentation that tenants’ reported income was verified with current EIV Income Reports within 120 days of admission into the HCV program. EFFECT: The PHA could be issuing incorrect housing assistance payments on behalf of tenants who are not paying the appropriate amount of rent per program regulations. CAUSE: The overall cause was a lack of effective management oversight and quality control over this program. RECOMMENDATION: We recommend the PHA design and implement a corrective action plan that will assure compliance with the Uniform Guidance and the compliance supplement. MANAGEMENT’S RESPONSE See separately prepared Corrective Action Plan.