Federal Program: U.S. Department of Housing and Urban Development AL #14.871 - Material Weakness. Criteria: The Authority is required to have procedures in place to ensure that federal awards are in accordance with 2 CFR Part 200. Appendix XI. 2 CFR 200.303(a) establishes that the auditee must establish and maintain effective internal control over the federal award that provides assurance that the entity is managing the federal award in compliance with federal statutes, regulations, and the terms and conditions of the federal awards. Condition: The Authority was unable to provide one of the 40 selected tenant files for testing of compliance. As a result, we were unable to perform compliance testing to ensure the entity was in compliance for all compliance categories mentioned above. Questioned Costs: None. Context: We are unable to test one of the 40 selected tenant files. Effect: The Authority is not in compliance with Uniform Guidance requirements. Cause: The Authority suffered flooding, which resulted in tenant files becoming damaged and thrown out. Repeat Finding: Not a repeat finding. Recommendation: We recommend that management stores tenant files in a safe location, in storage that will protect it from flood, fire, or other damage. Views of Responsible Officials: Management recognizes the deficiency and has made modifications to the storage area for
tenant files to ensure safe storage protected from fire, flood, or other damage.
Federal Program: U.S. Department of Housing and Urban Development AL #14.871 - Significant Deficiency. Criteria: Per the Authority's policy, all tenant files are required to have a quality control worksheet included, which functions as the Authority's primary internal review process to ensure an annual certification, at minimum, was performed and appropriate tenant information is documented. Condition: Of the 40 tenant files selected for testing, we noted four files in which the quality control worksheet was never completed. Questioned Costs: None. Context: We reviewed a sample of 40 of the Authority's 472 tenant files for eligibility requirements. Effect: Tenants may not be provided the proper housing assistance in accordance with their income and eligibility factors. Cause: Lack of controls and oversight during the year. Repeat Finding: Not a repeat finding. Recommendation: We recommend the Authority follow its policy and emphasize performing a quality review over its tenant files to ensure all income and eligibility factors are properly determined. Views of Responsible Officials: Management has implemented a process for file review and quality control independent of a
quality control worksheet. We are confident that all files are being reviewed, regardless of the
presence of the worksheet. We have reiterated the importance of completing the worksheet
when QC reviews are completed.
Federal Program: U.S. Department of Housing and Urban Development AL #14.871 - Significant Deficiency. Criteria: Determine income eligibility and calculate the tenant's rent payment using the documentation from third party verification in accordance with 24 CFR Part 5 Subpart F (24 CFR section 5.601 et seq.) (24 CFR sections 982.201, 982.515, and 982.516). Additionally, as a condition of admission or continued occupancy, the Authority must require the tenant and other family members to provide necessary information, documentation, and releases for the PHA to verify income eligibility (24 CFR sections 5.230, 5.609, and 982.516). Condition: We tested compliance with the Authority's eligibility in 40 tenant files and found that one tenant's housing assistance payment was understated due to the Authority using an incorrect rent payment. Additionally, we noted one tenant file in which the tenant's Social Security Number was not documented. Questioned Costs: None. Context: We reviewed a sample of 40 of the Authority's 472 tenant files for eligibility requirements. Effect: During our review of tenant files, one tenant's verified income was incorrectly calculated and entered into the rent determination worksheet, resulting in the tenant's rent and HAP portion to be miscalculated. The error noted remained undetected after completion of a quality control worksheet, which functions as the Authority's primary internal review process to ensure an annual certification, at minimum, was performed and appropriate tenant information is documented. Additionally, HAP payments could have been paid to a tenant who was not eligible to receive the payments. Cause: Lack of controls and oversight during the year. Repeat Finding: Not a repeat finding. Recommendation: We recommend there be a second party review of the file to ensure all calculations are correct and appropriate documents are included. Views of Responsible Officials: Management recognizes the deficiency and plans to implement the auditor's recommendation.
Federal Program: U.S. Department of Housing and Urban Development AL #14.871 - Significant Deficiency. Criteria: The Uniform Guidance requires all entities that expend in excess of $750,000 to file audited financial statements and a Data Collection Form within 9 months of year-end. Condition: The Authority's December 31, 2022 audited financial statements and associated Data Collection Form were not filed with the Federal Audit Clearinghouse within 9 months of the Authority's year-end. Questioned Costs: None. Context: N/A. Effect: The Authority is not in compliance with Uniform Guidance requirements. Cause: The financial statements were not completed within the 9-month window which delayed the submissions to the Federal Audit Clearinghouse. Repeat Finding: See 2021-007. Recommendation: We recommend the Authority ensures reconciliations are prepared in a timely manner to allow for an efficient audit process. Views of Responsible Officials: Management recognizes the deficiency and plans to implement the auditor's recommendation.
Federal Program: U.S. Department of Housing and Urban Development AL #14.871 - Significant Deficiency. Criteria: The Authority must maintain records to document the basis for the determination that rent to owner is reasonable rent (initially and during the term of the HAP contract) (24 CFR sections 982.4, 982.54(d)(15), 982.158(f)(7), and 982.507). Condition: We tested compliance with the Authority's rent reasonableness forms in 40 tenant files and found that two tenants did not have a rent reasonableness form for the current cost of rent. The rent was deemed reasonable by the Authority once noted by the auditors. The error noted remained undetected after completion of a quality control worksheet, which functions as the Authority's primary internal review process to ensure an annual certification, at minimum, was performed and appropriate tenant information is documented. Questioned Costs: None. Context: We reviewed a sample of 40 of the Authority's 472 tenant files for rent reasonableness requirements. Effect: HAP payments could have been paid to a tenant where rent was not considered reasonable. Cause: Upon change in rent or move-in to a new property during the term of the HAP contracts, the tenant files did not contain forms comparing the rent of like-kind units. Repeat Finding: See 2021-008. Recommendation: We recommend there be a second party review of the file to ensure all appropriate documents are included. Views of Responsible Officials: The Authority will have a checklist on annual certifications to ensure all appropriate documents are included in the file.
Federal Program: U.S. Department of Housing and Urban Development AL #14.871 - Material Weakness. Criteria: The Authority is required to have procedures in place to ensure that federal awards are in accordance with 2 CFR Part 200. Appendix XI. 2 CFR 200.303(a) establishes that the auditee must establish and maintain effective internal control over the federal award that provides assurance that the entity is managing the federal award in compliance with federal statutes, regulations, and the terms and conditions of the federal awards. Condition: The Authority was unable to provide one of the 40 selected tenant files for testing of compliance. As a result, we were unable to perform compliance testing to ensure the entity was in compliance for all compliance categories mentioned above. Questioned Costs: None. Context: We are unable to test one of the 40 selected tenant files. Effect: The Authority is not in compliance with Uniform Guidance requirements. Cause: The Authority suffered flooding, which resulted in tenant files becoming damaged and thrown out. Repeat Finding: Not a repeat finding. Recommendation: We recommend that management stores tenant files in a safe location, in storage that will protect it from flood, fire, or other damage. Views of Responsible Officials: Management recognizes the deficiency and has made modifications to the storage area for
tenant files to ensure safe storage protected from fire, flood, or other damage.
Federal Program: U.S. Department of Housing and Urban Development AL #14.871 - Significant Deficiency. Criteria: Per the Authority's policy, all tenant files are required to have a quality control worksheet included, which functions as the Authority's primary internal review process to ensure an annual certification, at minimum, was performed and appropriate tenant information is documented. Condition: Of the 40 tenant files selected for testing, we noted four files in which the quality control worksheet was never completed. Questioned Costs: None. Context: We reviewed a sample of 40 of the Authority's 472 tenant files for eligibility requirements. Effect: Tenants may not be provided the proper housing assistance in accordance with their income and eligibility factors. Cause: Lack of controls and oversight during the year. Repeat Finding: Not a repeat finding. Recommendation: We recommend the Authority follow its policy and emphasize performing a quality review over its tenant files to ensure all income and eligibility factors are properly determined. Views of Responsible Officials: Management has implemented a process for file review and quality control independent of a
quality control worksheet. We are confident that all files are being reviewed, regardless of the
presence of the worksheet. We have reiterated the importance of completing the worksheet
when QC reviews are completed.
Federal Program: U.S. Department of Housing and Urban Development AL #14.871 - Significant Deficiency. Criteria: Determine income eligibility and calculate the tenant's rent payment using the documentation from third party verification in accordance with 24 CFR Part 5 Subpart F (24 CFR section 5.601 et seq.) (24 CFR sections 982.201, 982.515, and 982.516). Additionally, as a condition of admission or continued occupancy, the Authority must require the tenant and other family members to provide necessary information, documentation, and releases for the PHA to verify income eligibility (24 CFR sections 5.230, 5.609, and 982.516). Condition: We tested compliance with the Authority's eligibility in 40 tenant files and found that one tenant's housing assistance payment was understated due to the Authority using an incorrect rent payment. Additionally, we noted one tenant file in which the tenant's Social Security Number was not documented. Questioned Costs: None. Context: We reviewed a sample of 40 of the Authority's 472 tenant files for eligibility requirements. Effect: During our review of tenant files, one tenant's verified income was incorrectly calculated and entered into the rent determination worksheet, resulting in the tenant's rent and HAP portion to be miscalculated. The error noted remained undetected after completion of a quality control worksheet, which functions as the Authority's primary internal review process to ensure an annual certification, at minimum, was performed and appropriate tenant information is documented. Additionally, HAP payments could have been paid to a tenant who was not eligible to receive the payments. Cause: Lack of controls and oversight during the year. Repeat Finding: Not a repeat finding. Recommendation: We recommend there be a second party review of the file to ensure all calculations are correct and appropriate documents are included. Views of Responsible Officials: Management recognizes the deficiency and plans to implement the auditor's recommendation.
Federal Program: U.S. Department of Housing and Urban Development AL #14.871 - Significant Deficiency. Criteria: The Uniform Guidance requires all entities that expend in excess of $750,000 to file audited financial statements and a Data Collection Form within 9 months of year-end. Condition: The Authority's December 31, 2022 audited financial statements and associated Data Collection Form were not filed with the Federal Audit Clearinghouse within 9 months of the Authority's year-end. Questioned Costs: None. Context: N/A. Effect: The Authority is not in compliance with Uniform Guidance requirements. Cause: The financial statements were not completed within the 9-month window which delayed the submissions to the Federal Audit Clearinghouse. Repeat Finding: See 2021-007. Recommendation: We recommend the Authority ensures reconciliations are prepared in a timely manner to allow for an efficient audit process. Views of Responsible Officials: Management recognizes the deficiency and plans to implement the auditor's recommendation.
Federal Program: U.S. Department of Housing and Urban Development AL #14.871 - Significant Deficiency. Criteria: The Authority must maintain records to document the basis for the determination that rent to owner is reasonable rent (initially and during the term of the HAP contract) (24 CFR sections 982.4, 982.54(d)(15), 982.158(f)(7), and 982.507). Condition: We tested compliance with the Authority's rent reasonableness forms in 40 tenant files and found that two tenants did not have a rent reasonableness form for the current cost of rent. The rent was deemed reasonable by the Authority once noted by the auditors. The error noted remained undetected after completion of a quality control worksheet, which functions as the Authority's primary internal review process to ensure an annual certification, at minimum, was performed and appropriate tenant information is documented. Questioned Costs: None. Context: We reviewed a sample of 40 of the Authority's 472 tenant files for rent reasonableness requirements. Effect: HAP payments could have been paid to a tenant where rent was not considered reasonable. Cause: Upon change in rent or move-in to a new property during the term of the HAP contracts, the tenant files did not contain forms comparing the rent of like-kind units. Repeat Finding: See 2021-008. Recommendation: We recommend there be a second party review of the file to ensure all appropriate documents are included. Views of Responsible Officials: The Authority will have a checklist on annual certifications to ensure all appropriate documents are included in the file.
Federal Program: U.S. Department of Housing and Urban Development AL #14.871 - Material Weakness. Criteria: The Authority is required to have procedures in place to ensure that federal awards are in accordance with 2 CFR Part 200. Appendix XI. 2 CFR 200.303(a) establishes that the auditee must establish and maintain effective internal control over the federal award that provides assurance that the entity is managing the federal award in compliance with federal statutes, regulations, and the terms and conditions of the federal awards. Condition: The Authority was unable to provide one of the 40 selected tenant files for testing of compliance. As a result, we were unable to perform compliance testing to ensure the entity was in compliance for all compliance categories mentioned above. Questioned Costs: None. Context: We are unable to test one of the 40 selected tenant files. Effect: The Authority is not in compliance with Uniform Guidance requirements. Cause: The Authority suffered flooding, which resulted in tenant files becoming damaged and thrown out. Repeat Finding: Not a repeat finding. Recommendation: We recommend that management stores tenant files in a safe location, in storage that will protect it from flood, fire, or other damage. Views of Responsible Officials: Management recognizes the deficiency and has made modifications to the storage area for
tenant files to ensure safe storage protected from fire, flood, or other damage.
Federal Program: U.S. Department of Housing and Urban Development AL #14.871 - Significant Deficiency. Criteria: Per the Authority's policy, all tenant files are required to have a quality control worksheet included, which functions as the Authority's primary internal review process to ensure an annual certification, at minimum, was performed and appropriate tenant information is documented. Condition: Of the 40 tenant files selected for testing, we noted four files in which the quality control worksheet was never completed. Questioned Costs: None. Context: We reviewed a sample of 40 of the Authority's 472 tenant files for eligibility requirements. Effect: Tenants may not be provided the proper housing assistance in accordance with their income and eligibility factors. Cause: Lack of controls and oversight during the year. Repeat Finding: Not a repeat finding. Recommendation: We recommend the Authority follow its policy and emphasize performing a quality review over its tenant files to ensure all income and eligibility factors are properly determined. Views of Responsible Officials: Management has implemented a process for file review and quality control independent of a
quality control worksheet. We are confident that all files are being reviewed, regardless of the
presence of the worksheet. We have reiterated the importance of completing the worksheet
when QC reviews are completed.
Federal Program: U.S. Department of Housing and Urban Development AL #14.871 - Significant Deficiency. Criteria: Determine income eligibility and calculate the tenant's rent payment using the documentation from third party verification in accordance with 24 CFR Part 5 Subpart F (24 CFR section 5.601 et seq.) (24 CFR sections 982.201, 982.515, and 982.516). Additionally, as a condition of admission or continued occupancy, the Authority must require the tenant and other family members to provide necessary information, documentation, and releases for the PHA to verify income eligibility (24 CFR sections 5.230, 5.609, and 982.516). Condition: We tested compliance with the Authority's eligibility in 40 tenant files and found that one tenant's housing assistance payment was understated due to the Authority using an incorrect rent payment. Additionally, we noted one tenant file in which the tenant's Social Security Number was not documented. Questioned Costs: None. Context: We reviewed a sample of 40 of the Authority's 472 tenant files for eligibility requirements. Effect: During our review of tenant files, one tenant's verified income was incorrectly calculated and entered into the rent determination worksheet, resulting in the tenant's rent and HAP portion to be miscalculated. The error noted remained undetected after completion of a quality control worksheet, which functions as the Authority's primary internal review process to ensure an annual certification, at minimum, was performed and appropriate tenant information is documented. Additionally, HAP payments could have been paid to a tenant who was not eligible to receive the payments. Cause: Lack of controls and oversight during the year. Repeat Finding: Not a repeat finding. Recommendation: We recommend there be a second party review of the file to ensure all calculations are correct and appropriate documents are included. Views of Responsible Officials: Management recognizes the deficiency and plans to implement the auditor's recommendation.
Federal Program: U.S. Department of Housing and Urban Development AL #14.871 - Significant Deficiency. Criteria: The Uniform Guidance requires all entities that expend in excess of $750,000 to file audited financial statements and a Data Collection Form within 9 months of year-end. Condition: The Authority's December 31, 2022 audited financial statements and associated Data Collection Form were not filed with the Federal Audit Clearinghouse within 9 months of the Authority's year-end. Questioned Costs: None. Context: N/A. Effect: The Authority is not in compliance with Uniform Guidance requirements. Cause: The financial statements were not completed within the 9-month window which delayed the submissions to the Federal Audit Clearinghouse. Repeat Finding: See 2021-007. Recommendation: We recommend the Authority ensures reconciliations are prepared in a timely manner to allow for an efficient audit process. Views of Responsible Officials: Management recognizes the deficiency and plans to implement the auditor's recommendation.
Federal Program: U.S. Department of Housing and Urban Development AL #14.871 - Significant Deficiency. Criteria: The Authority must maintain records to document the basis for the determination that rent to owner is reasonable rent (initially and during the term of the HAP contract) (24 CFR sections 982.4, 982.54(d)(15), 982.158(f)(7), and 982.507). Condition: We tested compliance with the Authority's rent reasonableness forms in 40 tenant files and found that two tenants did not have a rent reasonableness form for the current cost of rent. The rent was deemed reasonable by the Authority once noted by the auditors. The error noted remained undetected after completion of a quality control worksheet, which functions as the Authority's primary internal review process to ensure an annual certification, at minimum, was performed and appropriate tenant information is documented. Questioned Costs: None. Context: We reviewed a sample of 40 of the Authority's 472 tenant files for rent reasonableness requirements. Effect: HAP payments could have been paid to a tenant where rent was not considered reasonable. Cause: Upon change in rent or move-in to a new property during the term of the HAP contracts, the tenant files did not contain forms comparing the rent of like-kind units. Repeat Finding: See 2021-008. Recommendation: We recommend there be a second party review of the file to ensure all appropriate documents are included. Views of Responsible Officials: The Authority will have a checklist on annual certifications to ensure all appropriate documents are included in the file.
Federal Program: U.S. Department of Housing and Urban Development AL #14.871 - Material Weakness. Criteria: The Authority is required to have procedures in place to ensure that federal awards are in accordance with 2 CFR Part 200. Appendix XI. 2 CFR 200.303(a) establishes that the auditee must establish and maintain effective internal control over the federal award that provides assurance that the entity is managing the federal award in compliance with federal statutes, regulations, and the terms and conditions of the federal awards. Condition: The Authority was unable to provide one of the 40 selected tenant files for testing of compliance. As a result, we were unable to perform compliance testing to ensure the entity was in compliance for all compliance categories mentioned above. Questioned Costs: None. Context: We are unable to test one of the 40 selected tenant files. Effect: The Authority is not in compliance with Uniform Guidance requirements. Cause: The Authority suffered flooding, which resulted in tenant files becoming damaged and thrown out. Repeat Finding: Not a repeat finding. Recommendation: We recommend that management stores tenant files in a safe location, in storage that will protect it from flood, fire, or other damage. Views of Responsible Officials: Management recognizes the deficiency and has made modifications to the storage area for
tenant files to ensure safe storage protected from fire, flood, or other damage.
Federal Program: U.S. Department of Housing and Urban Development AL #14.871 - Significant Deficiency. Criteria: Per the Authority's policy, all tenant files are required to have a quality control worksheet included, which functions as the Authority's primary internal review process to ensure an annual certification, at minimum, was performed and appropriate tenant information is documented. Condition: Of the 40 tenant files selected for testing, we noted four files in which the quality control worksheet was never completed. Questioned Costs: None. Context: We reviewed a sample of 40 of the Authority's 472 tenant files for eligibility requirements. Effect: Tenants may not be provided the proper housing assistance in accordance with their income and eligibility factors. Cause: Lack of controls and oversight during the year. Repeat Finding: Not a repeat finding. Recommendation: We recommend the Authority follow its policy and emphasize performing a quality review over its tenant files to ensure all income and eligibility factors are properly determined. Views of Responsible Officials: Management has implemented a process for file review and quality control independent of a
quality control worksheet. We are confident that all files are being reviewed, regardless of the
presence of the worksheet. We have reiterated the importance of completing the worksheet
when QC reviews are completed.
Federal Program: U.S. Department of Housing and Urban Development AL #14.871 - Significant Deficiency. Criteria: Determine income eligibility and calculate the tenant's rent payment using the documentation from third party verification in accordance with 24 CFR Part 5 Subpart F (24 CFR section 5.601 et seq.) (24 CFR sections 982.201, 982.515, and 982.516). Additionally, as a condition of admission or continued occupancy, the Authority must require the tenant and other family members to provide necessary information, documentation, and releases for the PHA to verify income eligibility (24 CFR sections 5.230, 5.609, and 982.516). Condition: We tested compliance with the Authority's eligibility in 40 tenant files and found that one tenant's housing assistance payment was understated due to the Authority using an incorrect rent payment. Additionally, we noted one tenant file in which the tenant's Social Security Number was not documented. Questioned Costs: None. Context: We reviewed a sample of 40 of the Authority's 472 tenant files for eligibility requirements. Effect: During our review of tenant files, one tenant's verified income was incorrectly calculated and entered into the rent determination worksheet, resulting in the tenant's rent and HAP portion to be miscalculated. The error noted remained undetected after completion of a quality control worksheet, which functions as the Authority's primary internal review process to ensure an annual certification, at minimum, was performed and appropriate tenant information is documented. Additionally, HAP payments could have been paid to a tenant who was not eligible to receive the payments. Cause: Lack of controls and oversight during the year. Repeat Finding: Not a repeat finding. Recommendation: We recommend there be a second party review of the file to ensure all calculations are correct and appropriate documents are included. Views of Responsible Officials: Management recognizes the deficiency and plans to implement the auditor's recommendation.
Federal Program: U.S. Department of Housing and Urban Development AL #14.871 - Significant Deficiency. Criteria: The Uniform Guidance requires all entities that expend in excess of $750,000 to file audited financial statements and a Data Collection Form within 9 months of year-end. Condition: The Authority's December 31, 2022 audited financial statements and associated Data Collection Form were not filed with the Federal Audit Clearinghouse within 9 months of the Authority's year-end. Questioned Costs: None. Context: N/A. Effect: The Authority is not in compliance with Uniform Guidance requirements. Cause: The financial statements were not completed within the 9-month window which delayed the submissions to the Federal Audit Clearinghouse. Repeat Finding: See 2021-007. Recommendation: We recommend the Authority ensures reconciliations are prepared in a timely manner to allow for an efficient audit process. Views of Responsible Officials: Management recognizes the deficiency and plans to implement the auditor's recommendation.
Federal Program: U.S. Department of Housing and Urban Development AL #14.871 - Significant Deficiency. Criteria: The Authority must maintain records to document the basis for the determination that rent to owner is reasonable rent (initially and during the term of the HAP contract) (24 CFR sections 982.4, 982.54(d)(15), 982.158(f)(7), and 982.507). Condition: We tested compliance with the Authority's rent reasonableness forms in 40 tenant files and found that two tenants did not have a rent reasonableness form for the current cost of rent. The rent was deemed reasonable by the Authority once noted by the auditors. The error noted remained undetected after completion of a quality control worksheet, which functions as the Authority's primary internal review process to ensure an annual certification, at minimum, was performed and appropriate tenant information is documented. Questioned Costs: None. Context: We reviewed a sample of 40 of the Authority's 472 tenant files for rent reasonableness requirements. Effect: HAP payments could have been paid to a tenant where rent was not considered reasonable. Cause: Upon change in rent or move-in to a new property during the term of the HAP contracts, the tenant files did not contain forms comparing the rent of like-kind units. Repeat Finding: See 2021-008. Recommendation: We recommend there be a second party review of the file to ensure all appropriate documents are included. Views of Responsible Officials: The Authority will have a checklist on annual certifications to ensure all appropriate documents are included in the file.