FAC Explorer

Audit 323777

FY End
2020-12-31
Total Expended
$72.98M
Findings
8
Programs
11
Organization: Housing Authority of the City of Tulsa (OK)
Year: 2020 Accepted: 2024-10-03
Auditor: Cliftonlarsonallen LLP

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
501708 2020-002 Significant Deficiency - N
501709 2020-002 Significant Deficiency - N
501710 2020-003 Significant Deficiency Yes E
501711 2020-003 Significant Deficiency Yes E
1078150 2020-002 Significant Deficiency - N
1078151 2020-002 Significant Deficiency - N
1078152 2020-003 Significant Deficiency Yes E
1078153 2020-003 Significant Deficiency Yes E

Programs

ALN Program Spent Major Findings
14.889 Choice Neighborhoods Implementation Grants $10.73M - 0
14.872 Public Housing Capital Fund $7.90M Yes 0
14.195 Project-Based Rental Assistance (pbra) $3.74M - 0
21.019 Coronavirus Relief Fund $2.76M Yes 0
14.850 Public Housing Operating Fund $1.30M - 1
14.871 Section 8 Housing Choice Vouchers $1.14M - 1
14.856 Lower Income Housing Assistance Program Section 8 Moderate Rehabilitation $368,227 - 0
14.870 Resident Opportunity and Supportive Services - Service Coordinators $215,612 - 0
14.239 Home Investment Partnerships Program $111,171 - 0
14.169 Housing Counseling Assistance Program $69,492 - 0
14.218 Community Development Block Grants/entitlement Grants $24,237 - 0

Contacts

Name Title Type
MGB9F1MFCUY5 Matthew Letzig Auditee
9185815702 Mandy Merchant Auditor
No contacts on file

Notes to SEFA

Title: SUB-RECIPENTS Accounting Policies: Basis of Presentation The accompanying Schedule of Expenditures of Federal Awards (the Schedule) includes the federal awards activity of the Authority under programs of the federal government for the year ended December 31, 2020. 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. Summary of Significant 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. Negative amounts shown on the Schedule represent adjustments or credits made in the normal course of business to amounts reported as expenditures in prior years De Minimis Rate Used: N Rate Explanation: The Authority has elected not to use the 10-percent de minimis indirect cost rate as allowed under the Uniform Guidance. The Authority provided no federal awards to sub-recipients during the fiscal year ended December 31, 2020.
Title: NONCASH FEDERAL ASSISTANCE Accounting Policies: Basis of Presentation The accompanying Schedule of Expenditures of Federal Awards (the Schedule) includes the federal awards activity of the Authority under programs of the federal government for the year ended December 31, 2020. 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. Summary of Significant 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. Negative amounts shown on the Schedule represent adjustments or credits made in the normal course of business to amounts reported as expenditures in prior years De Minimis Rate Used: N Rate Explanation: The Authority has elected not to use the 10-percent de minimis indirect cost rate as allowed under the Uniform Guidance. The Authority did not receive any noncash federal assistance for the year ended December 31, 2020. They Authority has no loans, loan guarantees, or federally restricted endowment funds required to be disclosure for the fiscal year ended December 31, 2020.

Finding Details

Finding 2020-002
Federal Agency: U.S. Department of Housing and Urban Development Federal Program Title: Housing Choice Voucher Program CFDA Number: 14.871 Award Period: 1/1/2020-12/31/2020 Type of Finding: Significant Deficiency in Internal Control Over Compliance, Other Matters Condition: During our testing we noted instances where the Authority did not follow the internal controls in place to ensure compliance with Annual HQS Inspections requirements. Criteria or Specific Requirement: 24 CFR Sections 982.158(d) and 982.405(b) state that the PHA must inspect the unit leased to a family at least biennially to determine if the unit meets Housing Quality Standards (HQS) and the PHA must conduct quality control re-inspections. The PHA must prepare a unit inspection report. Questioned Costs: Unknown Content: Testing of tenant files found exceptions with four out of forty files as noted below: - Four out of forty files tested did not have a timely HQS inspection Cause: The Authority did not sufficiently monitor controls to ensure all inspections were performed timely. Effect: The Authority is not in compliance with HUD regulations. Repeat Finding: No Recommendation: We recommend that the Authority should review their HQS inspection policies to ensure that all inspections are performed timely and that all necessary documentation is maintained for each inspection. Views of Response Officials: There is no disagreement with the audit finding.
Finding 2020-002
Federal Agency: U.S. Department of Housing and Urban Development Federal Program Title: Housing Choice Voucher Program CFDA Number: 14.871 Award Period: 1/1/2020-12/31/2020 Type of Finding: Significant Deficiency in Internal Control Over Compliance, Other Matters Condition: During our testing we noted instances where the Authority did not follow the internal controls in place to ensure compliance with Annual HQS Inspections requirements. Criteria or Specific Requirement: 24 CFR Sections 982.158(d) and 982.405(b) state that the PHA must inspect the unit leased to a family at least biennially to determine if the unit meets Housing Quality Standards (HQS) and the PHA must conduct quality control re-inspections. The PHA must prepare a unit inspection report. Questioned Costs: Unknown Content: Testing of tenant files found exceptions with four out of forty files as noted below: - Four out of forty files tested did not have a timely HQS inspection Cause: The Authority did not sufficiently monitor controls to ensure all inspections were performed timely. Effect: The Authority is not in compliance with HUD regulations. Repeat Finding: No Recommendation: We recommend that the Authority should review their HQS inspection policies to ensure that all inspections are performed timely and that all necessary documentation is maintained for each inspection. Views of Response Officials: There is no disagreement with the audit finding.
Finding 2020-003
Federal Agency: U.S. Department of Housing and Urban Development Federal Program Title: Public and Indian Housing CFDA Number: 14.850 Award Period: 1/1/2020-12/31/2020 Type of Finding: Significant Deficiency in Internal Control Over Compliance, Other Matters Condition: During our testing we noted instances where the Authority did not follow the internal controls in place to ensure compliance with Eligibility requirements. Criteria or Specific Requirement: 24 CFR Section 960.259 states that 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. Per THA’s ACOP, documentation for eligibility should include a summary of the pertinent contents (public housing worksheet) which is to be signed and dated by the staff member who examined the verification (pg 20). Questioned Costs: Unknown Content: Testing of tenant files found exceptions with four of ten files as noted below: - One out of ten files tested did not have proper support for assets or expenses, and therefore had incorrectly calculated rent due to the missing information. - Four out of ten files tested did not have a signed general release form maintained in the tenant file. Cause: During the previous fiscal year, the Authority had a system conversion. Some of the information was not brought through correctly, causing differences between the rent in the tenants’ files and what was included in the HUD-50058 forms in the system. The Authority did not sufficiently monitor controls to ensure compliance with the file checklist requirements. Effect: The Authority is not providing accurate data to HUD to ensure the proper accounting of tenant information and the Authority is not in compliance with HUD regulations. Repeat Finding: Yes Recommendation: We recommend that management review their procedures for retrieving tenant information and establish a method that ensures compliance. Views of Response Officials: There is no disagreement with the audit finding.
Finding 2020-003
Federal Agency: U.S. Department of Housing and Urban Development Federal Program Title: Public and Indian Housing CFDA Number: 14.850 Award Period: 1/1/2020-12/31/2020 Type of Finding: Significant Deficiency in Internal Control Over Compliance, Other Matters Condition: During our testing we noted instances where the Authority did not follow the internal controls in place to ensure compliance with Eligibility requirements. Criteria or Specific Requirement: 24 CFR Section 960.259 states that 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. Per THA’s ACOP, documentation for eligibility should include a summary of the pertinent contents (public housing worksheet) which is to be signed and dated by the staff member who examined the verification (pg 20). Questioned Costs: Unknown Content: Testing of tenant files found exceptions with four of ten files as noted below: - One out of ten files tested did not have proper support for assets or expenses, and therefore had incorrectly calculated rent due to the missing information. - Four out of ten files tested did not have a signed general release form maintained in the tenant file. Cause: During the previous fiscal year, the Authority had a system conversion. Some of the information was not brought through correctly, causing differences between the rent in the tenants’ files and what was included in the HUD-50058 forms in the system. The Authority did not sufficiently monitor controls to ensure compliance with the file checklist requirements. Effect: The Authority is not providing accurate data to HUD to ensure the proper accounting of tenant information and the Authority is not in compliance with HUD regulations. Repeat Finding: Yes Recommendation: We recommend that management review their procedures for retrieving tenant information and establish a method that ensures compliance. Views of Response Officials: There is no disagreement with the audit finding.
Finding 2020-002
Federal Agency: U.S. Department of Housing and Urban Development Federal Program Title: Housing Choice Voucher Program CFDA Number: 14.871 Award Period: 1/1/2020-12/31/2020 Type of Finding: Significant Deficiency in Internal Control Over Compliance, Other Matters Condition: During our testing we noted instances where the Authority did not follow the internal controls in place to ensure compliance with Annual HQS Inspections requirements. Criteria or Specific Requirement: 24 CFR Sections 982.158(d) and 982.405(b) state that the PHA must inspect the unit leased to a family at least biennially to determine if the unit meets Housing Quality Standards (HQS) and the PHA must conduct quality control re-inspections. The PHA must prepare a unit inspection report. Questioned Costs: Unknown Content: Testing of tenant files found exceptions with four out of forty files as noted below: - Four out of forty files tested did not have a timely HQS inspection Cause: The Authority did not sufficiently monitor controls to ensure all inspections were performed timely. Effect: The Authority is not in compliance with HUD regulations. Repeat Finding: No Recommendation: We recommend that the Authority should review their HQS inspection policies to ensure that all inspections are performed timely and that all necessary documentation is maintained for each inspection. Views of Response Officials: There is no disagreement with the audit finding.
Finding 2020-002
Federal Agency: U.S. Department of Housing and Urban Development Federal Program Title: Housing Choice Voucher Program CFDA Number: 14.871 Award Period: 1/1/2020-12/31/2020 Type of Finding: Significant Deficiency in Internal Control Over Compliance, Other Matters Condition: During our testing we noted instances where the Authority did not follow the internal controls in place to ensure compliance with Annual HQS Inspections requirements. Criteria or Specific Requirement: 24 CFR Sections 982.158(d) and 982.405(b) state that the PHA must inspect the unit leased to a family at least biennially to determine if the unit meets Housing Quality Standards (HQS) and the PHA must conduct quality control re-inspections. The PHA must prepare a unit inspection report. Questioned Costs: Unknown Content: Testing of tenant files found exceptions with four out of forty files as noted below: - Four out of forty files tested did not have a timely HQS inspection Cause: The Authority did not sufficiently monitor controls to ensure all inspections were performed timely. Effect: The Authority is not in compliance with HUD regulations. Repeat Finding: No Recommendation: We recommend that the Authority should review their HQS inspection policies to ensure that all inspections are performed timely and that all necessary documentation is maintained for each inspection. Views of Response Officials: There is no disagreement with the audit finding.
Finding 2020-003
Federal Agency: U.S. Department of Housing and Urban Development Federal Program Title: Public and Indian Housing CFDA Number: 14.850 Award Period: 1/1/2020-12/31/2020 Type of Finding: Significant Deficiency in Internal Control Over Compliance, Other Matters Condition: During our testing we noted instances where the Authority did not follow the internal controls in place to ensure compliance with Eligibility requirements. Criteria or Specific Requirement: 24 CFR Section 960.259 states that 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. Per THA’s ACOP, documentation for eligibility should include a summary of the pertinent contents (public housing worksheet) which is to be signed and dated by the staff member who examined the verification (pg 20). Questioned Costs: Unknown Content: Testing of tenant files found exceptions with four of ten files as noted below: - One out of ten files tested did not have proper support for assets or expenses, and therefore had incorrectly calculated rent due to the missing information. - Four out of ten files tested did not have a signed general release form maintained in the tenant file. Cause: During the previous fiscal year, the Authority had a system conversion. Some of the information was not brought through correctly, causing differences between the rent in the tenants’ files and what was included in the HUD-50058 forms in the system. The Authority did not sufficiently monitor controls to ensure compliance with the file checklist requirements. Effect: The Authority is not providing accurate data to HUD to ensure the proper accounting of tenant information and the Authority is not in compliance with HUD regulations. Repeat Finding: Yes Recommendation: We recommend that management review their procedures for retrieving tenant information and establish a method that ensures compliance. Views of Response Officials: There is no disagreement with the audit finding.
Finding 2020-003
Federal Agency: U.S. Department of Housing and Urban Development Federal Program Title: Public and Indian Housing CFDA Number: 14.850 Award Period: 1/1/2020-12/31/2020 Type of Finding: Significant Deficiency in Internal Control Over Compliance, Other Matters Condition: During our testing we noted instances where the Authority did not follow the internal controls in place to ensure compliance with Eligibility requirements. Criteria or Specific Requirement: 24 CFR Section 960.259 states that 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. Per THA’s ACOP, documentation for eligibility should include a summary of the pertinent contents (public housing worksheet) which is to be signed and dated by the staff member who examined the verification (pg 20). Questioned Costs: Unknown Content: Testing of tenant files found exceptions with four of ten files as noted below: - One out of ten files tested did not have proper support for assets or expenses, and therefore had incorrectly calculated rent due to the missing information. - Four out of ten files tested did not have a signed general release form maintained in the tenant file. Cause: During the previous fiscal year, the Authority had a system conversion. Some of the information was not brought through correctly, causing differences between the rent in the tenants’ files and what was included in the HUD-50058 forms in the system. The Authority did not sufficiently monitor controls to ensure compliance with the file checklist requirements. Effect: The Authority is not providing accurate data to HUD to ensure the proper accounting of tenant information and the Authority is not in compliance with HUD regulations. Repeat Finding: Yes Recommendation: We recommend that management review their procedures for retrieving tenant information and establish a method that ensures compliance. Views of Response Officials: There is no disagreement with the audit finding.