Audit 356918

FY End
2023-12-31
Total Expended
$11.59M
Findings
24
Programs
2
Year: 2023 Accepted: 2025-05-22

Organization Exclusion Status:

Checking exclusion status...

Findings

ID Ref Severity Repeat Requirement
561277 2023-002 Significant Deficiency Yes N
561278 2023-003 Significant Deficiency Yes L
561279 2023-004 Material Weakness - E
561280 2023-005 Material Weakness - N
561281 2023-002 Significant Deficiency Yes N
561282 2023-003 Significant Deficiency Yes L
561283 2023-004 Material Weakness - E
561284 2023-005 Material Weakness - N
561285 2023-002 Significant Deficiency Yes N
561286 2023-003 Significant Deficiency Yes L
561287 2023-004 Material Weakness - E
561288 2023-005 Material Weakness - N
1137719 2023-002 Significant Deficiency Yes N
1137720 2023-003 Significant Deficiency Yes L
1137721 2023-004 Material Weakness - E
1137722 2023-005 Material Weakness - N
1137723 2023-002 Significant Deficiency Yes N
1137724 2023-003 Significant Deficiency Yes L
1137725 2023-004 Material Weakness - E
1137726 2023-005 Material Weakness - N
1137727 2023-002 Significant Deficiency Yes N
1137728 2023-003 Significant Deficiency Yes L
1137729 2023-004 Material Weakness - E
1137730 2023-005 Material Weakness - N

Programs

ALN Program Spent Major Findings
14.871 Section 8 Housing Choice Vouchers $1.55M Yes 4
14.879 Mainstream Vouchers $1.25M Yes 4

Contacts

Name Title Type
LTK4P8KABWF8 Michael Bishop Auditee
4252261850 Cole Monroe Auditor
No contacts on file

Notes to SEFA

Title: Basis of Accounting Accounting Policies: The accompanying schedule presents the expenditures incurred (and related awards received) by the Housing Authority of the City of Renton (the Authority) that are reimbursable under federal programs of federal agencies providing financial assistance and state awards. For the purposes of this schedule, only the portion of program expenditures reimbursable with such federal or state funds is reported in the accompanying schedule. Program expenditures in excess of the maximum federal or state reimbursement authorized or the portion of the program expenditures that were funded with local or other nonfederal funds are excluded from the accompanying schedule. De Minimis Rate Used: Y Rate Explanation: The Authority elected to use the 10% de minimums indirect cost rate as allowed in the Uniform Guidance, section 414. The expenditures included in the accompanying schedule were reported on the accrual basis of accounting. Expenditures are recognized in the accounting period in which the related liability is incurred. Expenditures reported included any property or equipment acquisitions incurred under the federal program. The information in this schedule is presented in accordance with the requirements of Uniform Guidance. Therefore, some amounts presented in this schedule may differ from amounts presented in or used in the preparation of the basic financial statements.

Finding Details

2023‐002 HQS Enforcement Questioned Costs The exact monetary impact needs further investigation to determine the amount of HAP that should have been abated for the period of non‐compliance. Criteria HUD requires that all units under the Housing Choice Vouchers Program meet specific Housing Quality Standards (HQS). In cases of failed inspections, timely re‐inspections are mandatory, and if compliance is not achieved, abatement of Housing Assistance Payments (HAP) or voucher cancellation is required. US Department of Housing and Urban Development Program Name Housing Voucher Cluster ALN (s) N Special Tests Condition During the audit, it was noted that in seven (7) instances, a unit that failed its HQS inspection did not undergo a subsequent re‐inspection or no inspection was documented. Consequently, the required abatement of HAP or cancellation of the housing voucher was not executed. Context This finding represents a potentially systemic issue within the Housing Voucher Cluster program, as it was identified in seven (7) files tested out of a sample of eight (8) cases. It highlights a need for more rigorous enforcement and monitoring of HQS compliance. Cause The non‐compliance appears to stem from oversight or procedural lapses in the enforcement of HQS within the Housing Voucher Cluster program. This may be due to inadequate training, monitoring, or failure to adhere to established protocols. Effect This non‐compliance undermines the integrity of the Housing Choice Vouchers Program and may lead to tenants living in substandard conditions. It also represents a risk of improper use of federal funds and can impact the credibility and effectiveness of the program. Recommendations Implement more stringent procedures for monitoring HQS compliance, including timely reinspection and enforcement of HAP abatement or voucher cancellation. Enhance training for staff involved in the HQS process to ensure a thorough understanding of compliance requirements. Establish a system of regular audits to identify and rectify lapses in HQS enforcement promptly. Management Views The auditee acknowledges the deficiency in enforcing Housing Quality Standards (HQS) as highlighted in the finding. In response to this issue, the management commits to implementing a comprehensive corrective action plan.
2023‐003 HUD Required Reporting Questioned Costs None 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. Management Views Management acknowledges the audit findings and is committed to taking corrective actions. US Department of Housing and Urban Development Program Name Housing Voucher Cluster ALN (s) L Reporting Criteria HUD regulations and federal requirements mandate timely submission of the Financial Assessment Subsystem for Public Housing Agencies (FASSPHA), the Data Collection Form (SF‐SAC) for the Single Audit, and the Section Eight Management Assessment Program (SEMAP) reports. These submissions are 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, and SF‐SAC reports to federal agencies. This delay in reporting has been noted for the first time in the 2021 audit findings. 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. 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. These challenges were compounded by inefficiencies in the Authority’s internal processes for report preparation and submission. 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. Recommendation: 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. Management Views Management acknowledges the audit findings and is committed to taking corrective actions.
2023‐004 Eligibility Controls and Compliance Management Views We agree with this finding and have outlined our plan of action in our corrective action plan. Questioned Costs The exact monetary impact needs further investigation to determine the amount for the period of non‐compliance. Cause The failure to meet compliance requirements noted above 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 maintain the required documentation in tenant files. Effect Compliance with income limits and eligibility could not be demonstrated for sampled tenants. Therefore, ineligible individuals may be receiving HAP assistance and /or HAP is being incorrectly Recommendations 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 requirements and (2) Revise and streamline internal processes to improve efficiency and reliability in meeting HUD's requirements for determing tenant eligibility. Criteria As a condition of admission or continued occupancy, require the tenant and other family members to provide necessary information, documentation, and releases for the Authority to verify income eligibility (24 CFR sections 5.230, 5.609, and 982.516) Condition Incomplete documentation of tenant’s income eligibility for participation in the Housing Choice Voucher Program. During the sampling of 40 tenant files we noted: (1) 29 did not include utility allowance calculation; (2) 9 50058 forms did not agree with the housing assistance payments made to landlords; (3) 22 tenant rents did not fall between 90% and 110% of the HUD FMR for the areas. Context The Authority manages over 600 Housing Choice Vouchers and 600 Port‐In Voucher during the year. We sampled 40 tenant files for multiple compliance requirements.Questioned Costs The exact monetary impact needs further investigation to determine the amount for the period of non‐compliance. Questioned Costs The exact monetary impact needs further investigation to determine the amount for the period of non‐compliance. Cause The failure to meet compliance requirements noted above 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 maintain the required documentation in tenant files. Effect Compliance with income limits and eligibility could not be demonstrated for sampled tenants. Therefore, ineligible individuals may be receiving HAP assistance and /or HAP is being incorrectly Recommendations 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 requirements and (2) Revise and streamline internal processes to improve efficiency and reliability in meeting HUD's requirements for determing tenant eligibility. Questioned Costs The exact monetary impact needs further investigation to determine the amount for the period of non‐compliance. Management Views We agree with this finding and have outlined our plan of action in our corrective action plan.
2023‐005 New Tenant Eligibility Controls and Compliance Questioned Costs The exact monetary impact needs further investigation to determine the amount for the period of non‐compliance. Management Views We agree with this finding and have outlined our plan of action in our corrective action plan. Cause The failure to meet compliance requirements noted above 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 maintain the required documentation in tenant files. Effect Compliance with income limits and eligibility could not be demonstrated for sampled tenants. Therefore, ineligible individuals may be receiving HAP assistance and /or HAP is being incorrectly calculated based on unverified incomes. Recommendations 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 requirements and (2) Revise and streamline internal processes to improve efficiency and reliability in meeting HUD's requirements for determing tenant eligibility. Criteria As a condition of admission or continued occupancy, require the tenant and other family members to provide necessary information, documentation, and releases for the Authority to verify income eligibility (24 CFR sections 5.230, 5.609, and 982.516) Condition Incomplete documentation of tenant’s initial income eligibility for participation in the Housing Choice Voucher Program. During the sampling of 6 tenant files we noted: (1) 5 contained no income calculation or supporting documentation for calculations; (2) 3 had no 50058 forms in the tenant file; (3) all 6 selected could not be traced back to the waitlist to determine proper entrance to the program. Context The Authority manages over 600 Housing Choice Vouchers with about 60‐70 new move‐ins a year. We sampled 6 tenant files for multiple compliance requirements. Cause The failure to meet compliance requirements noted above 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 maintain the required documentation in tenant files. Effect Compliance with income limits and eligibility could not be demonstrated for sampled tenants. Therefore, ineligible individuals may be receiving HAP assistance and /or HAP is being incorrectly calculated based on unverified incomes. Recommendations 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 requirements and (2) Revise and streamline internal processes to improve efficiency and reliability in meeting HUD's requirements for determing tenant eligibility. Questioned Costs The exact monetary impact needs further investigation to determine the amount for the period of non‐compliance. Management Views We agree with this finding and have outlined our plan of action in our corrective action plan.
2023‐002 HQS Enforcement Questioned Costs The exact monetary impact needs further investigation to determine the amount of HAP that should have been abated for the period of non‐compliance. Criteria HUD requires that all units under the Housing Choice Vouchers Program meet specific Housing Quality Standards (HQS). In cases of failed inspections, timely re‐inspections are mandatory, and if compliance is not achieved, abatement of Housing Assistance Payments (HAP) or voucher cancellation is required. US Department of Housing and Urban Development Program Name Housing Voucher Cluster ALN (s) N Special Tests Condition During the audit, it was noted that in seven (7) instances, a unit that failed its HQS inspection did not undergo a subsequent re‐inspection or no inspection was documented. Consequently, the required abatement of HAP or cancellation of the housing voucher was not executed. Context This finding represents a potentially systemic issue within the Housing Voucher Cluster program, as it was identified in seven (7) files tested out of a sample of eight (8) cases. It highlights a need for more rigorous enforcement and monitoring of HQS compliance. Cause The non‐compliance appears to stem from oversight or procedural lapses in the enforcement of HQS within the Housing Voucher Cluster program. This may be due to inadequate training, monitoring, or failure to adhere to established protocols. Effect This non‐compliance undermines the integrity of the Housing Choice Vouchers Program and may lead to tenants living in substandard conditions. It also represents a risk of improper use of federal funds and can impact the credibility and effectiveness of the program. Recommendations Implement more stringent procedures for monitoring HQS compliance, including timely reinspection and enforcement of HAP abatement or voucher cancellation. Enhance training for staff involved in the HQS process to ensure a thorough understanding of compliance requirements. Establish a system of regular audits to identify and rectify lapses in HQS enforcement promptly. Management Views The auditee acknowledges the deficiency in enforcing Housing Quality Standards (HQS) as highlighted in the finding. In response to this issue, the management commits to implementing a comprehensive corrective action plan.
2023‐003 HUD Required Reporting Questioned Costs None 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. Management Views Management acknowledges the audit findings and is committed to taking corrective actions. US Department of Housing and Urban Development Program Name Housing Voucher Cluster ALN (s) L Reporting Criteria HUD regulations and federal requirements mandate timely submission of the Financial Assessment Subsystem for Public Housing Agencies (FASSPHA), the Data Collection Form (SF‐SAC) for the Single Audit, and the Section Eight Management Assessment Program (SEMAP) reports. These submissions are 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, and SF‐SAC reports to federal agencies. This delay in reporting has been noted for the first time in the 2021 audit findings. 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. 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. These challenges were compounded by inefficiencies in the Authority’s internal processes for report preparation and submission. 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. Recommendation: 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. Management Views Management acknowledges the audit findings and is committed to taking corrective actions.
2023‐004 Eligibility Controls and Compliance Management Views We agree with this finding and have outlined our plan of action in our corrective action plan. Questioned Costs The exact monetary impact needs further investigation to determine the amount for the period of non‐compliance. Cause The failure to meet compliance requirements noted above 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 maintain the required documentation in tenant files. Effect Compliance with income limits and eligibility could not be demonstrated for sampled tenants. Therefore, ineligible individuals may be receiving HAP assistance and /or HAP is being incorrectly Recommendations 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 requirements and (2) Revise and streamline internal processes to improve efficiency and reliability in meeting HUD's requirements for determing tenant eligibility. Criteria As a condition of admission or continued occupancy, require the tenant and other family members to provide necessary information, documentation, and releases for the Authority to verify income eligibility (24 CFR sections 5.230, 5.609, and 982.516) Condition Incomplete documentation of tenant’s income eligibility for participation in the Housing Choice Voucher Program. During the sampling of 40 tenant files we noted: (1) 29 did not include utility allowance calculation; (2) 9 50058 forms did not agree with the housing assistance payments made to landlords; (3) 22 tenant rents did not fall between 90% and 110% of the HUD FMR for the areas. Context The Authority manages over 600 Housing Choice Vouchers and 600 Port‐In Voucher during the year. We sampled 40 tenant files for multiple compliance requirements.Questioned Costs The exact monetary impact needs further investigation to determine the amount for the period of non‐compliance. Questioned Costs The exact monetary impact needs further investigation to determine the amount for the period of non‐compliance. Cause The failure to meet compliance requirements noted above 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 maintain the required documentation in tenant files. Effect Compliance with income limits and eligibility could not be demonstrated for sampled tenants. Therefore, ineligible individuals may be receiving HAP assistance and /or HAP is being incorrectly Recommendations 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 requirements and (2) Revise and streamline internal processes to improve efficiency and reliability in meeting HUD's requirements for determing tenant eligibility. Questioned Costs The exact monetary impact needs further investigation to determine the amount for the period of non‐compliance. Management Views We agree with this finding and have outlined our plan of action in our corrective action plan.
2023‐005 New Tenant Eligibility Controls and Compliance Questioned Costs The exact monetary impact needs further investigation to determine the amount for the period of non‐compliance. Management Views We agree with this finding and have outlined our plan of action in our corrective action plan. Cause The failure to meet compliance requirements noted above 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 maintain the required documentation in tenant files. Effect Compliance with income limits and eligibility could not be demonstrated for sampled tenants. Therefore, ineligible individuals may be receiving HAP assistance and /or HAP is being incorrectly calculated based on unverified incomes. Recommendations 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 requirements and (2) Revise and streamline internal processes to improve efficiency and reliability in meeting HUD's requirements for determing tenant eligibility. Criteria As a condition of admission or continued occupancy, require the tenant and other family members to provide necessary information, documentation, and releases for the Authority to verify income eligibility (24 CFR sections 5.230, 5.609, and 982.516) Condition Incomplete documentation of tenant’s initial income eligibility for participation in the Housing Choice Voucher Program. During the sampling of 6 tenant files we noted: (1) 5 contained no income calculation or supporting documentation for calculations; (2) 3 had no 50058 forms in the tenant file; (3) all 6 selected could not be traced back to the waitlist to determine proper entrance to the program. Context The Authority manages over 600 Housing Choice Vouchers with about 60‐70 new move‐ins a year. We sampled 6 tenant files for multiple compliance requirements. Cause The failure to meet compliance requirements noted above 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 maintain the required documentation in tenant files. Effect Compliance with income limits and eligibility could not be demonstrated for sampled tenants. Therefore, ineligible individuals may be receiving HAP assistance and /or HAP is being incorrectly calculated based on unverified incomes. Recommendations 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 requirements and (2) Revise and streamline internal processes to improve efficiency and reliability in meeting HUD's requirements for determing tenant eligibility. Questioned Costs The exact monetary impact needs further investigation to determine the amount for the period of non‐compliance. Management Views We agree with this finding and have outlined our plan of action in our corrective action plan.
2023‐002 HQS Enforcement Questioned Costs The exact monetary impact needs further investigation to determine the amount of HAP that should have been abated for the period of non‐compliance. Criteria HUD requires that all units under the Housing Choice Vouchers Program meet specific Housing Quality Standards (HQS). In cases of failed inspections, timely re‐inspections are mandatory, and if compliance is not achieved, abatement of Housing Assistance Payments (HAP) or voucher cancellation is required. US Department of Housing and Urban Development Program Name Housing Voucher Cluster ALN (s) N Special Tests Condition During the audit, it was noted that in seven (7) instances, a unit that failed its HQS inspection did not undergo a subsequent re‐inspection or no inspection was documented. Consequently, the required abatement of HAP or cancellation of the housing voucher was not executed. Context This finding represents a potentially systemic issue within the Housing Voucher Cluster program, as it was identified in seven (7) files tested out of a sample of eight (8) cases. It highlights a need for more rigorous enforcement and monitoring of HQS compliance. Cause The non‐compliance appears to stem from oversight or procedural lapses in the enforcement of HQS within the Housing Voucher Cluster program. This may be due to inadequate training, monitoring, or failure to adhere to established protocols. Effect This non‐compliance undermines the integrity of the Housing Choice Vouchers Program and may lead to tenants living in substandard conditions. It also represents a risk of improper use of federal funds and can impact the credibility and effectiveness of the program. Recommendations Implement more stringent procedures for monitoring HQS compliance, including timely reinspection and enforcement of HAP abatement or voucher cancellation. Enhance training for staff involved in the HQS process to ensure a thorough understanding of compliance requirements. Establish a system of regular audits to identify and rectify lapses in HQS enforcement promptly. Management Views The auditee acknowledges the deficiency in enforcing Housing Quality Standards (HQS) as highlighted in the finding. In response to this issue, the management commits to implementing a comprehensive corrective action plan.
2023‐003 HUD Required Reporting Questioned Costs None 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. Management Views Management acknowledges the audit findings and is committed to taking corrective actions. US Department of Housing and Urban Development Program Name Housing Voucher Cluster ALN (s) L Reporting Criteria HUD regulations and federal requirements mandate timely submission of the Financial Assessment Subsystem for Public Housing Agencies (FASSPHA), the Data Collection Form (SF‐SAC) for the Single Audit, and the Section Eight Management Assessment Program (SEMAP) reports. These submissions are 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, and SF‐SAC reports to federal agencies. This delay in reporting has been noted for the first time in the 2021 audit findings. 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. 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. These challenges were compounded by inefficiencies in the Authority’s internal processes for report preparation and submission. 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. Recommendation: 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. Management Views Management acknowledges the audit findings and is committed to taking corrective actions.
2023‐004 Eligibility Controls and Compliance Management Views We agree with this finding and have outlined our plan of action in our corrective action plan. Questioned Costs The exact monetary impact needs further investigation to determine the amount for the period of non‐compliance. Cause The failure to meet compliance requirements noted above 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 maintain the required documentation in tenant files. Effect Compliance with income limits and eligibility could not be demonstrated for sampled tenants. Therefore, ineligible individuals may be receiving HAP assistance and /or HAP is being incorrectly Recommendations 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 requirements and (2) Revise and streamline internal processes to improve efficiency and reliability in meeting HUD's requirements for determing tenant eligibility. Criteria As a condition of admission or continued occupancy, require the tenant and other family members to provide necessary information, documentation, and releases for the Authority to verify income eligibility (24 CFR sections 5.230, 5.609, and 982.516) Condition Incomplete documentation of tenant’s income eligibility for participation in the Housing Choice Voucher Program. During the sampling of 40 tenant files we noted: (1) 29 did not include utility allowance calculation; (2) 9 50058 forms did not agree with the housing assistance payments made to landlords; (3) 22 tenant rents did not fall between 90% and 110% of the HUD FMR for the areas. Context The Authority manages over 600 Housing Choice Vouchers and 600 Port‐In Voucher during the year. We sampled 40 tenant files for multiple compliance requirements.Questioned Costs The exact monetary impact needs further investigation to determine the amount for the period of non‐compliance. Questioned Costs The exact monetary impact needs further investigation to determine the amount for the period of non‐compliance. Cause The failure to meet compliance requirements noted above 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 maintain the required documentation in tenant files. Effect Compliance with income limits and eligibility could not be demonstrated for sampled tenants. Therefore, ineligible individuals may be receiving HAP assistance and /or HAP is being incorrectly Recommendations 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 requirements and (2) Revise and streamline internal processes to improve efficiency and reliability in meeting HUD's requirements for determing tenant eligibility. Questioned Costs The exact monetary impact needs further investigation to determine the amount for the period of non‐compliance. Management Views We agree with this finding and have outlined our plan of action in our corrective action plan.
2023‐005 New Tenant Eligibility Controls and Compliance Questioned Costs The exact monetary impact needs further investigation to determine the amount for the period of non‐compliance. Management Views We agree with this finding and have outlined our plan of action in our corrective action plan. Cause The failure to meet compliance requirements noted above 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 maintain the required documentation in tenant files. Effect Compliance with income limits and eligibility could not be demonstrated for sampled tenants. Therefore, ineligible individuals may be receiving HAP assistance and /or HAP is being incorrectly calculated based on unverified incomes. Recommendations 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 requirements and (2) Revise and streamline internal processes to improve efficiency and reliability in meeting HUD's requirements for determing tenant eligibility. Criteria As a condition of admission or continued occupancy, require the tenant and other family members to provide necessary information, documentation, and releases for the Authority to verify income eligibility (24 CFR sections 5.230, 5.609, and 982.516) Condition Incomplete documentation of tenant’s initial income eligibility for participation in the Housing Choice Voucher Program. During the sampling of 6 tenant files we noted: (1) 5 contained no income calculation or supporting documentation for calculations; (2) 3 had no 50058 forms in the tenant file; (3) all 6 selected could not be traced back to the waitlist to determine proper entrance to the program. Context The Authority manages over 600 Housing Choice Vouchers with about 60‐70 new move‐ins a year. We sampled 6 tenant files for multiple compliance requirements. Cause The failure to meet compliance requirements noted above 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 maintain the required documentation in tenant files. Effect Compliance with income limits and eligibility could not be demonstrated for sampled tenants. Therefore, ineligible individuals may be receiving HAP assistance and /or HAP is being incorrectly calculated based on unverified incomes. Recommendations 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 requirements and (2) Revise and streamline internal processes to improve efficiency and reliability in meeting HUD's requirements for determing tenant eligibility. Questioned Costs The exact monetary impact needs further investigation to determine the amount for the period of non‐compliance. Management Views We agree with this finding and have outlined our plan of action in our corrective action plan.
2023‐002 HQS Enforcement Questioned Costs The exact monetary impact needs further investigation to determine the amount of HAP that should have been abated for the period of non‐compliance. Criteria HUD requires that all units under the Housing Choice Vouchers Program meet specific Housing Quality Standards (HQS). In cases of failed inspections, timely re‐inspections are mandatory, and if compliance is not achieved, abatement of Housing Assistance Payments (HAP) or voucher cancellation is required. US Department of Housing and Urban Development Program Name Housing Voucher Cluster ALN (s) N Special Tests Condition During the audit, it was noted that in seven (7) instances, a unit that failed its HQS inspection did not undergo a subsequent re‐inspection or no inspection was documented. Consequently, the required abatement of HAP or cancellation of the housing voucher was not executed. Context This finding represents a potentially systemic issue within the Housing Voucher Cluster program, as it was identified in seven (7) files tested out of a sample of eight (8) cases. It highlights a need for more rigorous enforcement and monitoring of HQS compliance. Cause The non‐compliance appears to stem from oversight or procedural lapses in the enforcement of HQS within the Housing Voucher Cluster program. This may be due to inadequate training, monitoring, or failure to adhere to established protocols. Effect This non‐compliance undermines the integrity of the Housing Choice Vouchers Program and may lead to tenants living in substandard conditions. It also represents a risk of improper use of federal funds and can impact the credibility and effectiveness of the program. Recommendations Implement more stringent procedures for monitoring HQS compliance, including timely reinspection and enforcement of HAP abatement or voucher cancellation. Enhance training for staff involved in the HQS process to ensure a thorough understanding of compliance requirements. Establish a system of regular audits to identify and rectify lapses in HQS enforcement promptly. Management Views The auditee acknowledges the deficiency in enforcing Housing Quality Standards (HQS) as highlighted in the finding. In response to this issue, the management commits to implementing a comprehensive corrective action plan.
2023‐003 HUD Required Reporting Questioned Costs None 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. Management Views Management acknowledges the audit findings and is committed to taking corrective actions. US Department of Housing and Urban Development Program Name Housing Voucher Cluster ALN (s) L Reporting Criteria HUD regulations and federal requirements mandate timely submission of the Financial Assessment Subsystem for Public Housing Agencies (FASSPHA), the Data Collection Form (SF‐SAC) for the Single Audit, and the Section Eight Management Assessment Program (SEMAP) reports. These submissions are 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, and SF‐SAC reports to federal agencies. This delay in reporting has been noted for the first time in the 2021 audit findings. 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. 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. These challenges were compounded by inefficiencies in the Authority’s internal processes for report preparation and submission. 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. Recommendation: 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. Management Views Management acknowledges the audit findings and is committed to taking corrective actions.
2023‐004 Eligibility Controls and Compliance Management Views We agree with this finding and have outlined our plan of action in our corrective action plan. Questioned Costs The exact monetary impact needs further investigation to determine the amount for the period of non‐compliance. Cause The failure to meet compliance requirements noted above 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 maintain the required documentation in tenant files. Effect Compliance with income limits and eligibility could not be demonstrated for sampled tenants. Therefore, ineligible individuals may be receiving HAP assistance and /or HAP is being incorrectly Recommendations 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 requirements and (2) Revise and streamline internal processes to improve efficiency and reliability in meeting HUD's requirements for determing tenant eligibility. Criteria As a condition of admission or continued occupancy, require the tenant and other family members to provide necessary information, documentation, and releases for the Authority to verify income eligibility (24 CFR sections 5.230, 5.609, and 982.516) Condition Incomplete documentation of tenant’s income eligibility for participation in the Housing Choice Voucher Program. During the sampling of 40 tenant files we noted: (1) 29 did not include utility allowance calculation; (2) 9 50058 forms did not agree with the housing assistance payments made to landlords; (3) 22 tenant rents did not fall between 90% and 110% of the HUD FMR for the areas. Context The Authority manages over 600 Housing Choice Vouchers and 600 Port‐In Voucher during the year. We sampled 40 tenant files for multiple compliance requirements.Questioned Costs The exact monetary impact needs further investigation to determine the amount for the period of non‐compliance. Questioned Costs The exact monetary impact needs further investigation to determine the amount for the period of non‐compliance. Cause The failure to meet compliance requirements noted above 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 maintain the required documentation in tenant files. Effect Compliance with income limits and eligibility could not be demonstrated for sampled tenants. Therefore, ineligible individuals may be receiving HAP assistance and /or HAP is being incorrectly Recommendations 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 requirements and (2) Revise and streamline internal processes to improve efficiency and reliability in meeting HUD's requirements for determing tenant eligibility. Questioned Costs The exact monetary impact needs further investigation to determine the amount for the period of non‐compliance. Management Views We agree with this finding and have outlined our plan of action in our corrective action plan.
2023‐005 New Tenant Eligibility Controls and Compliance Questioned Costs The exact monetary impact needs further investigation to determine the amount for the period of non‐compliance. Management Views We agree with this finding and have outlined our plan of action in our corrective action plan. Cause The failure to meet compliance requirements noted above 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 maintain the required documentation in tenant files. Effect Compliance with income limits and eligibility could not be demonstrated for sampled tenants. Therefore, ineligible individuals may be receiving HAP assistance and /or HAP is being incorrectly calculated based on unverified incomes. Recommendations 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 requirements and (2) Revise and streamline internal processes to improve efficiency and reliability in meeting HUD's requirements for determing tenant eligibility. Criteria As a condition of admission or continued occupancy, require the tenant and other family members to provide necessary information, documentation, and releases for the Authority to verify income eligibility (24 CFR sections 5.230, 5.609, and 982.516) Condition Incomplete documentation of tenant’s initial income eligibility for participation in the Housing Choice Voucher Program. During the sampling of 6 tenant files we noted: (1) 5 contained no income calculation or supporting documentation for calculations; (2) 3 had no 50058 forms in the tenant file; (3) all 6 selected could not be traced back to the waitlist to determine proper entrance to the program. Context The Authority manages over 600 Housing Choice Vouchers with about 60‐70 new move‐ins a year. We sampled 6 tenant files for multiple compliance requirements. Cause The failure to meet compliance requirements noted above 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 maintain the required documentation in tenant files. Effect Compliance with income limits and eligibility could not be demonstrated for sampled tenants. Therefore, ineligible individuals may be receiving HAP assistance and /or HAP is being incorrectly calculated based on unverified incomes. Recommendations 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 requirements and (2) Revise and streamline internal processes to improve efficiency and reliability in meeting HUD's requirements for determing tenant eligibility. Questioned Costs The exact monetary impact needs further investigation to determine the amount for the period of non‐compliance. Management Views We agree with this finding and have outlined our plan of action in our corrective action plan.
2023‐002 HQS Enforcement Questioned Costs The exact monetary impact needs further investigation to determine the amount of HAP that should have been abated for the period of non‐compliance. Criteria HUD requires that all units under the Housing Choice Vouchers Program meet specific Housing Quality Standards (HQS). In cases of failed inspections, timely re‐inspections are mandatory, and if compliance is not achieved, abatement of Housing Assistance Payments (HAP) or voucher cancellation is required. US Department of Housing and Urban Development Program Name Housing Voucher Cluster ALN (s) N Special Tests Condition During the audit, it was noted that in seven (7) instances, a unit that failed its HQS inspection did not undergo a subsequent re‐inspection or no inspection was documented. Consequently, the required abatement of HAP or cancellation of the housing voucher was not executed. Context This finding represents a potentially systemic issue within the Housing Voucher Cluster program, as it was identified in seven (7) files tested out of a sample of eight (8) cases. It highlights a need for more rigorous enforcement and monitoring of HQS compliance. Cause The non‐compliance appears to stem from oversight or procedural lapses in the enforcement of HQS within the Housing Voucher Cluster program. This may be due to inadequate training, monitoring, or failure to adhere to established protocols. Effect This non‐compliance undermines the integrity of the Housing Choice Vouchers Program and may lead to tenants living in substandard conditions. It also represents a risk of improper use of federal funds and can impact the credibility and effectiveness of the program. Recommendations Implement more stringent procedures for monitoring HQS compliance, including timely reinspection and enforcement of HAP abatement or voucher cancellation. Enhance training for staff involved in the HQS process to ensure a thorough understanding of compliance requirements. Establish a system of regular audits to identify and rectify lapses in HQS enforcement promptly. Management Views The auditee acknowledges the deficiency in enforcing Housing Quality Standards (HQS) as highlighted in the finding. In response to this issue, the management commits to implementing a comprehensive corrective action plan.
2023‐003 HUD Required Reporting Questioned Costs None 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. Management Views Management acknowledges the audit findings and is committed to taking corrective actions. US Department of Housing and Urban Development Program Name Housing Voucher Cluster ALN (s) L Reporting Criteria HUD regulations and federal requirements mandate timely submission of the Financial Assessment Subsystem for Public Housing Agencies (FASSPHA), the Data Collection Form (SF‐SAC) for the Single Audit, and the Section Eight Management Assessment Program (SEMAP) reports. These submissions are 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, and SF‐SAC reports to federal agencies. This delay in reporting has been noted for the first time in the 2021 audit findings. 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. 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. These challenges were compounded by inefficiencies in the Authority’s internal processes for report preparation and submission. 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. Recommendation: 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. Management Views Management acknowledges the audit findings and is committed to taking corrective actions.
2023‐004 Eligibility Controls and Compliance Management Views We agree with this finding and have outlined our plan of action in our corrective action plan. Questioned Costs The exact monetary impact needs further investigation to determine the amount for the period of non‐compliance. Cause The failure to meet compliance requirements noted above 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 maintain the required documentation in tenant files. Effect Compliance with income limits and eligibility could not be demonstrated for sampled tenants. Therefore, ineligible individuals may be receiving HAP assistance and /or HAP is being incorrectly Recommendations 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 requirements and (2) Revise and streamline internal processes to improve efficiency and reliability in meeting HUD's requirements for determing tenant eligibility. Criteria As a condition of admission or continued occupancy, require the tenant and other family members to provide necessary information, documentation, and releases for the Authority to verify income eligibility (24 CFR sections 5.230, 5.609, and 982.516) Condition Incomplete documentation of tenant’s income eligibility for participation in the Housing Choice Voucher Program. During the sampling of 40 tenant files we noted: (1) 29 did not include utility allowance calculation; (2) 9 50058 forms did not agree with the housing assistance payments made to landlords; (3) 22 tenant rents did not fall between 90% and 110% of the HUD FMR for the areas. Context The Authority manages over 600 Housing Choice Vouchers and 600 Port‐In Voucher during the year. We sampled 40 tenant files for multiple compliance requirements.Questioned Costs The exact monetary impact needs further investigation to determine the amount for the period of non‐compliance. Questioned Costs The exact monetary impact needs further investigation to determine the amount for the period of non‐compliance. Cause The failure to meet compliance requirements noted above 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 maintain the required documentation in tenant files. Effect Compliance with income limits and eligibility could not be demonstrated for sampled tenants. Therefore, ineligible individuals may be receiving HAP assistance and /or HAP is being incorrectly Recommendations 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 requirements and (2) Revise and streamline internal processes to improve efficiency and reliability in meeting HUD's requirements for determing tenant eligibility. Questioned Costs The exact monetary impact needs further investigation to determine the amount for the period of non‐compliance. Management Views We agree with this finding and have outlined our plan of action in our corrective action plan.
2023‐005 New Tenant Eligibility Controls and Compliance Questioned Costs The exact monetary impact needs further investigation to determine the amount for the period of non‐compliance. Management Views We agree with this finding and have outlined our plan of action in our corrective action plan. Cause The failure to meet compliance requirements noted above 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 maintain the required documentation in tenant files. Effect Compliance with income limits and eligibility could not be demonstrated for sampled tenants. Therefore, ineligible individuals may be receiving HAP assistance and /or HAP is being incorrectly calculated based on unverified incomes. Recommendations 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 requirements and (2) Revise and streamline internal processes to improve efficiency and reliability in meeting HUD's requirements for determing tenant eligibility. Criteria As a condition of admission or continued occupancy, require the tenant and other family members to provide necessary information, documentation, and releases for the Authority to verify income eligibility (24 CFR sections 5.230, 5.609, and 982.516) Condition Incomplete documentation of tenant’s initial income eligibility for participation in the Housing Choice Voucher Program. During the sampling of 6 tenant files we noted: (1) 5 contained no income calculation or supporting documentation for calculations; (2) 3 had no 50058 forms in the tenant file; (3) all 6 selected could not be traced back to the waitlist to determine proper entrance to the program. Context The Authority manages over 600 Housing Choice Vouchers with about 60‐70 new move‐ins a year. We sampled 6 tenant files for multiple compliance requirements. Cause The failure to meet compliance requirements noted above 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 maintain the required documentation in tenant files. Effect Compliance with income limits and eligibility could not be demonstrated for sampled tenants. Therefore, ineligible individuals may be receiving HAP assistance and /or HAP is being incorrectly calculated based on unverified incomes. Recommendations 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 requirements and (2) Revise and streamline internal processes to improve efficiency and reliability in meeting HUD's requirements for determing tenant eligibility. Questioned Costs The exact monetary impact needs further investigation to determine the amount for the period of non‐compliance. Management Views We agree with this finding and have outlined our plan of action in our corrective action plan.
2023‐002 HQS Enforcement Questioned Costs The exact monetary impact needs further investigation to determine the amount of HAP that should have been abated for the period of non‐compliance. Criteria HUD requires that all units under the Housing Choice Vouchers Program meet specific Housing Quality Standards (HQS). In cases of failed inspections, timely re‐inspections are mandatory, and if compliance is not achieved, abatement of Housing Assistance Payments (HAP) or voucher cancellation is required. US Department of Housing and Urban Development Program Name Housing Voucher Cluster ALN (s) N Special Tests Condition During the audit, it was noted that in seven (7) instances, a unit that failed its HQS inspection did not undergo a subsequent re‐inspection or no inspection was documented. Consequently, the required abatement of HAP or cancellation of the housing voucher was not executed. Context This finding represents a potentially systemic issue within the Housing Voucher Cluster program, as it was identified in seven (7) files tested out of a sample of eight (8) cases. It highlights a need for more rigorous enforcement and monitoring of HQS compliance. Cause The non‐compliance appears to stem from oversight or procedural lapses in the enforcement of HQS within the Housing Voucher Cluster program. This may be due to inadequate training, monitoring, or failure to adhere to established protocols. Effect This non‐compliance undermines the integrity of the Housing Choice Vouchers Program and may lead to tenants living in substandard conditions. It also represents a risk of improper use of federal funds and can impact the credibility and effectiveness of the program. Recommendations Implement more stringent procedures for monitoring HQS compliance, including timely reinspection and enforcement of HAP abatement or voucher cancellation. Enhance training for staff involved in the HQS process to ensure a thorough understanding of compliance requirements. Establish a system of regular audits to identify and rectify lapses in HQS enforcement promptly. Management Views The auditee acknowledges the deficiency in enforcing Housing Quality Standards (HQS) as highlighted in the finding. In response to this issue, the management commits to implementing a comprehensive corrective action plan.
2023‐003 HUD Required Reporting Questioned Costs None 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. Management Views Management acknowledges the audit findings and is committed to taking corrective actions. US Department of Housing and Urban Development Program Name Housing Voucher Cluster ALN (s) L Reporting Criteria HUD regulations and federal requirements mandate timely submission of the Financial Assessment Subsystem for Public Housing Agencies (FASSPHA), the Data Collection Form (SF‐SAC) for the Single Audit, and the Section Eight Management Assessment Program (SEMAP) reports. These submissions are 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, and SF‐SAC reports to federal agencies. This delay in reporting has been noted for the first time in the 2021 audit findings. 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. 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. These challenges were compounded by inefficiencies in the Authority’s internal processes for report preparation and submission. 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. Recommendation: 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. Management Views Management acknowledges the audit findings and is committed to taking corrective actions.
2023‐004 Eligibility Controls and Compliance Management Views We agree with this finding and have outlined our plan of action in our corrective action plan. Questioned Costs The exact monetary impact needs further investigation to determine the amount for the period of non‐compliance. Cause The failure to meet compliance requirements noted above 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 maintain the required documentation in tenant files. Effect Compliance with income limits and eligibility could not be demonstrated for sampled tenants. Therefore, ineligible individuals may be receiving HAP assistance and /or HAP is being incorrectly Recommendations 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 requirements and (2) Revise and streamline internal processes to improve efficiency and reliability in meeting HUD's requirements for determing tenant eligibility. Criteria As a condition of admission or continued occupancy, require the tenant and other family members to provide necessary information, documentation, and releases for the Authority to verify income eligibility (24 CFR sections 5.230, 5.609, and 982.516) Condition Incomplete documentation of tenant’s income eligibility for participation in the Housing Choice Voucher Program. During the sampling of 40 tenant files we noted: (1) 29 did not include utility allowance calculation; (2) 9 50058 forms did not agree with the housing assistance payments made to landlords; (3) 22 tenant rents did not fall between 90% and 110% of the HUD FMR for the areas. Context The Authority manages over 600 Housing Choice Vouchers and 600 Port‐In Voucher during the year. We sampled 40 tenant files for multiple compliance requirements.Questioned Costs The exact monetary impact needs further investigation to determine the amount for the period of non‐compliance. Questioned Costs The exact monetary impact needs further investigation to determine the amount for the period of non‐compliance. Cause The failure to meet compliance requirements noted above 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 maintain the required documentation in tenant files. Effect Compliance with income limits and eligibility could not be demonstrated for sampled tenants. Therefore, ineligible individuals may be receiving HAP assistance and /or HAP is being incorrectly Recommendations 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 requirements and (2) Revise and streamline internal processes to improve efficiency and reliability in meeting HUD's requirements for determing tenant eligibility. Questioned Costs The exact monetary impact needs further investigation to determine the amount for the period of non‐compliance. Management Views We agree with this finding and have outlined our plan of action in our corrective action plan.
2023‐005 New Tenant Eligibility Controls and Compliance Questioned Costs The exact monetary impact needs further investigation to determine the amount for the period of non‐compliance. Management Views We agree with this finding and have outlined our plan of action in our corrective action plan. Cause The failure to meet compliance requirements noted above 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 maintain the required documentation in tenant files. Effect Compliance with income limits and eligibility could not be demonstrated for sampled tenants. Therefore, ineligible individuals may be receiving HAP assistance and /or HAP is being incorrectly calculated based on unverified incomes. Recommendations 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 requirements and (2) Revise and streamline internal processes to improve efficiency and reliability in meeting HUD's requirements for determing tenant eligibility. Criteria As a condition of admission or continued occupancy, require the tenant and other family members to provide necessary information, documentation, and releases for the Authority to verify income eligibility (24 CFR sections 5.230, 5.609, and 982.516) Condition Incomplete documentation of tenant’s initial income eligibility for participation in the Housing Choice Voucher Program. During the sampling of 6 tenant files we noted: (1) 5 contained no income calculation or supporting documentation for calculations; (2) 3 had no 50058 forms in the tenant file; (3) all 6 selected could not be traced back to the waitlist to determine proper entrance to the program. Context The Authority manages over 600 Housing Choice Vouchers with about 60‐70 new move‐ins a year. We sampled 6 tenant files for multiple compliance requirements. Cause The failure to meet compliance requirements noted above 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 maintain the required documentation in tenant files. Effect Compliance with income limits and eligibility could not be demonstrated for sampled tenants. Therefore, ineligible individuals may be receiving HAP assistance and /or HAP is being incorrectly calculated based on unverified incomes. Recommendations 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 requirements and (2) Revise and streamline internal processes to improve efficiency and reliability in meeting HUD's requirements for determing tenant eligibility. Questioned Costs The exact monetary impact needs further investigation to determine the amount for the period of non‐compliance. Management Views We agree with this finding and have outlined our plan of action in our corrective action plan.