Audit 366303

FY End
2022-09-30
Total Expended
$1.90M
Findings
24
Programs
5
Organization: Michigan Ability Partners (MI)
Year: 2022 Accepted: 2025-09-15

Organization Exclusion Status:

Checking exclusion status...

Findings

ID Ref Severity Repeat Requirement
1153027 2022-002 Material Weakness Yes N
1153028 2022-003 Material Weakness Yes N
1153029 2022-002 Material Weakness Yes N
1153030 2022-003 Material Weakness Yes N
1153031 2022-002 Material Weakness Yes N
1153032 2022-003 Material Weakness Yes N
1153033 2022-002 Material Weakness Yes N
1153034 2022-003 Material Weakness Yes N
1153035 2022-002 Material Weakness Yes N
1153036 2022-003 Material Weakness Yes N
1153037 2022-002 Material Weakness Yes N
1153038 2022-003 Material Weakness Yes N
1153039 2022-002 Material Weakness Yes N
1153040 2022-003 Material Weakness Yes N
1153041 2022-002 Material Weakness Yes N
1153042 2022-003 Material Weakness Yes N
1153043 2022-002 Material Weakness Yes N
1153044 2022-003 Material Weakness Yes N
1153045 2022-002 Material Weakness Yes N
1153046 2022-003 Material Weakness Yes N
1153047 2022-002 Material Weakness Yes N
1153048 2022-003 Material Weakness Yes N
1153049 2022-002 Material Weakness Yes N
1153050 2022-003 Material Weakness Yes N

Programs

ALN Program Spent Major Findings
14.267 Continuum of Care Program $168,663 Yes 2
64.024 Va Homeless Providers Grant and Per Diem Program $150,137 Yes 0
17.805 Homeless Veterans’ Reintegration Program $125,052 Yes 0
64.003 Education and Training of Health Service Personnel $99,468 Yes 0
14.218 Community Development Block Grants/entitlement Grants $62,749 Yes 0

Contacts

Name Title Type
YBUGEFTVBDN3 Jan Little Auditee
7349756880 James D. Wilde Auditor
No contacts on file

Notes to SEFA

The accompanying schedule of expenditures of federal awards includes the federal grant activity of Michigan Ability Partners (MAP) and is presented on the same basis of accounting as the financial statements. The information in this schedule is presented in accordance with the requirements of the Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance). In addition, expenditures reported on the schedule are recognized following the federal cost principles contained in the Uniform Guidance, wherein certain types of expenditures are not allowed or are limited as to reimbursement. Therefore, some amounts presented in this schedule may differ from amounts presented in, or used in the preparation of, the basic financial statements. Because the schedule presents only a selected portion of the operations of MAP, it is not intended to and does not present the financial position, change in net position or cash flows of MAP.
MAP has elected not to use the 10 percent de minimis indirect cost rate allowed under the Uniform Guidance
All subsequent events related to the major programs were evaluated through August 4, 2025, the date the accompanying reports were available to be issued. No significant event was noted that required adjustment or disclosure in the report.

Finding Details

Program Name – Continuum of Care Program CFDA Number – 14.267 Finding Type – Material Weakness and Noncompliance Criteria – Where grants are used to pay rent for individual housing units, the rent paid must be reasonable in relation to rents being charged for comparable units taking into account relevant features. In addition, the rents may not exceed rents currently being charged by the same owner for comparable unassisted units, and the portion of rents paid with grant funds may not exceed HUD-determined fair market rents. Condition – During the audit we tested 60 samples and noted: • For 7 samples no supporting documents were provided and we were not able to verify if the rent was reasonable. • For 1 sample the rent for comparable units at the same owner were lower than the assisted unit and there was no explanation why the rent was determined to be reasonable. • For 12 sample we could not verify evidence of review and approval of the rent reasonableness before the rent and the subsidy was approved. Questioned Cost – Unknown Identification of a Repeat Finding – This is not a repeat finding from the immediate previous audit Cause/Effect – There was a high staff turnover during the COVID-19 pandemic and staff responsible for the determination and the documentation was no longer available. As a result, we could not verify the reasonableness of rent payments. Recommendation – We recommend that all rent reasonableness determinations are properly documented. All records should be monitored in the tenant files to evidence the rent reasonable determinations. The documentation should be reviewed and approved before rents and rent subsidies are authorized and disbursed.
Program Name – Continuum of Care Program CFDA Number – 14.267 Finding Type – Material Weakness and Noncompliance Criteria – Each program participant on whose behalf rental assistance payments are made must pay a contribution toward rent in accordance with section 3(a)(1) of the U.S. Housing Act of 1937 (42 U.S.C. 1437a(a)(1)). Income of program participants must be calculated in accordance with 24 CFR 5.609 and 24 CFR 5.611(a). For each program participant who receives housing assistance where rent or an occupancy charge is paid by the program participant, the recipient must keep the income evaluation form specified by HUD and completed by the recipient. Condition – During the audit we tested 60 samples and noted: • For 2 of the samples tested the calculated tenant contribution resulted in lower housing assistant than the one charged to the program. • For 7 of the samples tested the income evaluation form was not available for review and we could not verify that the housing assistance amount charge to the program was accurate based on the participants’ income. Questioned Cost – Unknown Identification of a Repeat Finding – This is not a repeat finding from the immediate previous audit Cause/Effect – Due to the issues noted above, we could not verify the accuracy of certain tenant contribution calculations and amounts. Recommendation – We recommend that MAP maintains documentation for all income verification including Recertification and Adjustment Notification forms for each program participants.
Program Name – Continuum of Care Program CFDA Number – 14.267 Finding Type – Material Weakness and Noncompliance Criteria – Where grants are used to pay rent for individual housing units, the rent paid must be reasonable in relation to rents being charged for comparable units taking into account relevant features. In addition, the rents may not exceed rents currently being charged by the same owner for comparable unassisted units, and the portion of rents paid with grant funds may not exceed HUD-determined fair market rents. Condition – During the audit we tested 60 samples and noted: • For 7 samples no supporting documents were provided and we were not able to verify if the rent was reasonable. • For 1 sample the rent for comparable units at the same owner were lower than the assisted unit and there was no explanation why the rent was determined to be reasonable. • For 12 sample we could not verify evidence of review and approval of the rent reasonableness before the rent and the subsidy was approved. Questioned Cost – Unknown Identification of a Repeat Finding – This is not a repeat finding from the immediate previous audit Cause/Effect – There was a high staff turnover during the COVID-19 pandemic and staff responsible for the determination and the documentation was no longer available. As a result, we could not verify the reasonableness of rent payments. Recommendation – We recommend that all rent reasonableness determinations are properly documented. All records should be monitored in the tenant files to evidence the rent reasonable determinations. The documentation should be reviewed and approved before rents and rent subsidies are authorized and disbursed.
Program Name – Continuum of Care Program CFDA Number – 14.267 Finding Type – Material Weakness and Noncompliance Criteria – Each program participant on whose behalf rental assistance payments are made must pay a contribution toward rent in accordance with section 3(a)(1) of the U.S. Housing Act of 1937 (42 U.S.C. 1437a(a)(1)). Income of program participants must be calculated in accordance with 24 CFR 5.609 and 24 CFR 5.611(a). For each program participant who receives housing assistance where rent or an occupancy charge is paid by the program participant, the recipient must keep the income evaluation form specified by HUD and completed by the recipient. Condition – During the audit we tested 60 samples and noted: • For 2 of the samples tested the calculated tenant contribution resulted in lower housing assistant than the one charged to the program. • For 7 of the samples tested the income evaluation form was not available for review and we could not verify that the housing assistance amount charge to the program was accurate based on the participants’ income. Questioned Cost – Unknown Identification of a Repeat Finding – This is not a repeat finding from the immediate previous audit Cause/Effect – Due to the issues noted above, we could not verify the accuracy of certain tenant contribution calculations and amounts. Recommendation – We recommend that MAP maintains documentation for all income verification including Recertification and Adjustment Notification forms for each program participants.
Program Name – Continuum of Care Program CFDA Number – 14.267 Finding Type – Material Weakness and Noncompliance Criteria – Where grants are used to pay rent for individual housing units, the rent paid must be reasonable in relation to rents being charged for comparable units taking into account relevant features. In addition, the rents may not exceed rents currently being charged by the same owner for comparable unassisted units, and the portion of rents paid with grant funds may not exceed HUD-determined fair market rents. Condition – During the audit we tested 60 samples and noted: • For 7 samples no supporting documents were provided and we were not able to verify if the rent was reasonable. • For 1 sample the rent for comparable units at the same owner were lower than the assisted unit and there was no explanation why the rent was determined to be reasonable. • For 12 sample we could not verify evidence of review and approval of the rent reasonableness before the rent and the subsidy was approved. Questioned Cost – Unknown Identification of a Repeat Finding – This is not a repeat finding from the immediate previous audit Cause/Effect – There was a high staff turnover during the COVID-19 pandemic and staff responsible for the determination and the documentation was no longer available. As a result, we could not verify the reasonableness of rent payments. Recommendation – We recommend that all rent reasonableness determinations are properly documented. All records should be monitored in the tenant files to evidence the rent reasonable determinations. The documentation should be reviewed and approved before rents and rent subsidies are authorized and disbursed.
Program Name – Continuum of Care Program CFDA Number – 14.267 Finding Type – Material Weakness and Noncompliance Criteria – Each program participant on whose behalf rental assistance payments are made must pay a contribution toward rent in accordance with section 3(a)(1) of the U.S. Housing Act of 1937 (42 U.S.C. 1437a(a)(1)). Income of program participants must be calculated in accordance with 24 CFR 5.609 and 24 CFR 5.611(a). For each program participant who receives housing assistance where rent or an occupancy charge is paid by the program participant, the recipient must keep the income evaluation form specified by HUD and completed by the recipient. Condition – During the audit we tested 60 samples and noted: • For 2 of the samples tested the calculated tenant contribution resulted in lower housing assistant than the one charged to the program. • For 7 of the samples tested the income evaluation form was not available for review and we could not verify that the housing assistance amount charge to the program was accurate based on the participants’ income. Questioned Cost – Unknown Identification of a Repeat Finding – This is not a repeat finding from the immediate previous audit Cause/Effect – Due to the issues noted above, we could not verify the accuracy of certain tenant contribution calculations and amounts. Recommendation – We recommend that MAP maintains documentation for all income verification including Recertification and Adjustment Notification forms for each program participants.
Program Name – Continuum of Care Program CFDA Number – 14.267 Finding Type – Material Weakness and Noncompliance Criteria – Where grants are used to pay rent for individual housing units, the rent paid must be reasonable in relation to rents being charged for comparable units taking into account relevant features. In addition, the rents may not exceed rents currently being charged by the same owner for comparable unassisted units, and the portion of rents paid with grant funds may not exceed HUD-determined fair market rents. Condition – During the audit we tested 60 samples and noted: • For 7 samples no supporting documents were provided and we were not able to verify if the rent was reasonable. • For 1 sample the rent for comparable units at the same owner were lower than the assisted unit and there was no explanation why the rent was determined to be reasonable. • For 12 sample we could not verify evidence of review and approval of the rent reasonableness before the rent and the subsidy was approved. Questioned Cost – Unknown Identification of a Repeat Finding – This is not a repeat finding from the immediate previous audit Cause/Effect – There was a high staff turnover during the COVID-19 pandemic and staff responsible for the determination and the documentation was no longer available. As a result, we could not verify the reasonableness of rent payments. Recommendation – We recommend that all rent reasonableness determinations are properly documented. All records should be monitored in the tenant files to evidence the rent reasonable determinations. The documentation should be reviewed and approved before rents and rent subsidies are authorized and disbursed.
Program Name – Continuum of Care Program CFDA Number – 14.267 Finding Type – Material Weakness and Noncompliance Criteria – Each program participant on whose behalf rental assistance payments are made must pay a contribution toward rent in accordance with section 3(a)(1) of the U.S. Housing Act of 1937 (42 U.S.C. 1437a(a)(1)). Income of program participants must be calculated in accordance with 24 CFR 5.609 and 24 CFR 5.611(a). For each program participant who receives housing assistance where rent or an occupancy charge is paid by the program participant, the recipient must keep the income evaluation form specified by HUD and completed by the recipient. Condition – During the audit we tested 60 samples and noted: • For 2 of the samples tested the calculated tenant contribution resulted in lower housing assistant than the one charged to the program. • For 7 of the samples tested the income evaluation form was not available for review and we could not verify that the housing assistance amount charge to the program was accurate based on the participants’ income. Questioned Cost – Unknown Identification of a Repeat Finding – This is not a repeat finding from the immediate previous audit Cause/Effect – Due to the issues noted above, we could not verify the accuracy of certain tenant contribution calculations and amounts. Recommendation – We recommend that MAP maintains documentation for all income verification including Recertification and Adjustment Notification forms for each program participants.
Program Name – Continuum of Care Program CFDA Number – 14.267 Finding Type – Material Weakness and Noncompliance Criteria – Where grants are used to pay rent for individual housing units, the rent paid must be reasonable in relation to rents being charged for comparable units taking into account relevant features. In addition, the rents may not exceed rents currently being charged by the same owner for comparable unassisted units, and the portion of rents paid with grant funds may not exceed HUD-determined fair market rents. Condition – During the audit we tested 60 samples and noted: • For 7 samples no supporting documents were provided and we were not able to verify if the rent was reasonable. • For 1 sample the rent for comparable units at the same owner were lower than the assisted unit and there was no explanation why the rent was determined to be reasonable. • For 12 sample we could not verify evidence of review and approval of the rent reasonableness before the rent and the subsidy was approved. Questioned Cost – Unknown Identification of a Repeat Finding – This is not a repeat finding from the immediate previous audit Cause/Effect – There was a high staff turnover during the COVID-19 pandemic and staff responsible for the determination and the documentation was no longer available. As a result, we could not verify the reasonableness of rent payments. Recommendation – We recommend that all rent reasonableness determinations are properly documented. All records should be monitored in the tenant files to evidence the rent reasonable determinations. The documentation should be reviewed and approved before rents and rent subsidies are authorized and disbursed.
Program Name – Continuum of Care Program CFDA Number – 14.267 Finding Type – Material Weakness and Noncompliance Criteria – Each program participant on whose behalf rental assistance payments are made must pay a contribution toward rent in accordance with section 3(a)(1) of the U.S. Housing Act of 1937 (42 U.S.C. 1437a(a)(1)). Income of program participants must be calculated in accordance with 24 CFR 5.609 and 24 CFR 5.611(a). For each program participant who receives housing assistance where rent or an occupancy charge is paid by the program participant, the recipient must keep the income evaluation form specified by HUD and completed by the recipient. Condition – During the audit we tested 60 samples and noted: • For 2 of the samples tested the calculated tenant contribution resulted in lower housing assistant than the one charged to the program. • For 7 of the samples tested the income evaluation form was not available for review and we could not verify that the housing assistance amount charge to the program was accurate based on the participants’ income. Questioned Cost – Unknown Identification of a Repeat Finding – This is not a repeat finding from the immediate previous audit Cause/Effect – Due to the issues noted above, we could not verify the accuracy of certain tenant contribution calculations and amounts. Recommendation – We recommend that MAP maintains documentation for all income verification including Recertification and Adjustment Notification forms for each program participants.
Program Name – Continuum of Care Program CFDA Number – 14.267 Finding Type – Material Weakness and Noncompliance Criteria – Where grants are used to pay rent for individual housing units, the rent paid must be reasonable in relation to rents being charged for comparable units taking into account relevant features. In addition, the rents may not exceed rents currently being charged by the same owner for comparable unassisted units, and the portion of rents paid with grant funds may not exceed HUD-determined fair market rents. Condition – During the audit we tested 60 samples and noted: • For 7 samples no supporting documents were provided and we were not able to verify if the rent was reasonable. • For 1 sample the rent for comparable units at the same owner were lower than the assisted unit and there was no explanation why the rent was determined to be reasonable. • For 12 sample we could not verify evidence of review and approval of the rent reasonableness before the rent and the subsidy was approved. Questioned Cost – Unknown Identification of a Repeat Finding – This is not a repeat finding from the immediate previous audit Cause/Effect – There was a high staff turnover during the COVID-19 pandemic and staff responsible for the determination and the documentation was no longer available. As a result, we could not verify the reasonableness of rent payments. Recommendation – We recommend that all rent reasonableness determinations are properly documented. All records should be monitored in the tenant files to evidence the rent reasonable determinations. The documentation should be reviewed and approved before rents and rent subsidies are authorized and disbursed.
Program Name – Continuum of Care Program CFDA Number – 14.267 Finding Type – Material Weakness and Noncompliance Criteria – Each program participant on whose behalf rental assistance payments are made must pay a contribution toward rent in accordance with section 3(a)(1) of the U.S. Housing Act of 1937 (42 U.S.C. 1437a(a)(1)). Income of program participants must be calculated in accordance with 24 CFR 5.609 and 24 CFR 5.611(a). For each program participant who receives housing assistance where rent or an occupancy charge is paid by the program participant, the recipient must keep the income evaluation form specified by HUD and completed by the recipient. Condition – During the audit we tested 60 samples and noted: • For 2 of the samples tested the calculated tenant contribution resulted in lower housing assistant than the one charged to the program. • For 7 of the samples tested the income evaluation form was not available for review and we could not verify that the housing assistance amount charge to the program was accurate based on the participants’ income. Questioned Cost – Unknown Identification of a Repeat Finding – This is not a repeat finding from the immediate previous audit Cause/Effect – Due to the issues noted above, we could not verify the accuracy of certain tenant contribution calculations and amounts. Recommendation – We recommend that MAP maintains documentation for all income verification including Recertification and Adjustment Notification forms for each program participants.
Program Name – Continuum of Care Program CFDA Number – 14.267 Finding Type – Material Weakness and Noncompliance Criteria – Where grants are used to pay rent for individual housing units, the rent paid must be reasonable in relation to rents being charged for comparable units taking into account relevant features. In addition, the rents may not exceed rents currently being charged by the same owner for comparable unassisted units, and the portion of rents paid with grant funds may not exceed HUD-determined fair market rents. Condition – During the audit we tested 60 samples and noted: • For 7 samples no supporting documents were provided and we were not able to verify if the rent was reasonable. • For 1 sample the rent for comparable units at the same owner were lower than the assisted unit and there was no explanation why the rent was determined to be reasonable. • For 12 sample we could not verify evidence of review and approval of the rent reasonableness before the rent and the subsidy was approved. Questioned Cost – Unknown Identification of a Repeat Finding – This is not a repeat finding from the immediate previous audit Cause/Effect – There was a high staff turnover during the COVID-19 pandemic and staff responsible for the determination and the documentation was no longer available. As a result, we could not verify the reasonableness of rent payments. Recommendation – We recommend that all rent reasonableness determinations are properly documented. All records should be monitored in the tenant files to evidence the rent reasonable determinations. The documentation should be reviewed and approved before rents and rent subsidies are authorized and disbursed.
Program Name – Continuum of Care Program CFDA Number – 14.267 Finding Type – Material Weakness and Noncompliance Criteria – Each program participant on whose behalf rental assistance payments are made must pay a contribution toward rent in accordance with section 3(a)(1) of the U.S. Housing Act of 1937 (42 U.S.C. 1437a(a)(1)). Income of program participants must be calculated in accordance with 24 CFR 5.609 and 24 CFR 5.611(a). For each program participant who receives housing assistance where rent or an occupancy charge is paid by the program participant, the recipient must keep the income evaluation form specified by HUD and completed by the recipient. Condition – During the audit we tested 60 samples and noted: • For 2 of the samples tested the calculated tenant contribution resulted in lower housing assistant than the one charged to the program. • For 7 of the samples tested the income evaluation form was not available for review and we could not verify that the housing assistance amount charge to the program was accurate based on the participants’ income. Questioned Cost – Unknown Identification of a Repeat Finding – This is not a repeat finding from the immediate previous audit Cause/Effect – Due to the issues noted above, we could not verify the accuracy of certain tenant contribution calculations and amounts. Recommendation – We recommend that MAP maintains documentation for all income verification including Recertification and Adjustment Notification forms for each program participants.
Program Name – Continuum of Care Program CFDA Number – 14.267 Finding Type – Material Weakness and Noncompliance Criteria – Where grants are used to pay rent for individual housing units, the rent paid must be reasonable in relation to rents being charged for comparable units taking into account relevant features. In addition, the rents may not exceed rents currently being charged by the same owner for comparable unassisted units, and the portion of rents paid with grant funds may not exceed HUD-determined fair market rents. Condition – During the audit we tested 60 samples and noted: • For 7 samples no supporting documents were provided and we were not able to verify if the rent was reasonable. • For 1 sample the rent for comparable units at the same owner were lower than the assisted unit and there was no explanation why the rent was determined to be reasonable. • For 12 sample we could not verify evidence of review and approval of the rent reasonableness before the rent and the subsidy was approved. Questioned Cost – Unknown Identification of a Repeat Finding – This is not a repeat finding from the immediate previous audit Cause/Effect – There was a high staff turnover during the COVID-19 pandemic and staff responsible for the determination and the documentation was no longer available. As a result, we could not verify the reasonableness of rent payments. Recommendation – We recommend that all rent reasonableness determinations are properly documented. All records should be monitored in the tenant files to evidence the rent reasonable determinations. The documentation should be reviewed and approved before rents and rent subsidies are authorized and disbursed.
Program Name – Continuum of Care Program CFDA Number – 14.267 Finding Type – Material Weakness and Noncompliance Criteria – Each program participant on whose behalf rental assistance payments are made must pay a contribution toward rent in accordance with section 3(a)(1) of the U.S. Housing Act of 1937 (42 U.S.C. 1437a(a)(1)). Income of program participants must be calculated in accordance with 24 CFR 5.609 and 24 CFR 5.611(a). For each program participant who receives housing assistance where rent or an occupancy charge is paid by the program participant, the recipient must keep the income evaluation form specified by HUD and completed by the recipient. Condition – During the audit we tested 60 samples and noted: • For 2 of the samples tested the calculated tenant contribution resulted in lower housing assistant than the one charged to the program. • For 7 of the samples tested the income evaluation form was not available for review and we could not verify that the housing assistance amount charge to the program was accurate based on the participants’ income. Questioned Cost – Unknown Identification of a Repeat Finding – This is not a repeat finding from the immediate previous audit Cause/Effect – Due to the issues noted above, we could not verify the accuracy of certain tenant contribution calculations and amounts. Recommendation – We recommend that MAP maintains documentation for all income verification including Recertification and Adjustment Notification forms for each program participants.
Program Name – Continuum of Care Program CFDA Number – 14.267 Finding Type – Material Weakness and Noncompliance Criteria – Where grants are used to pay rent for individual housing units, the rent paid must be reasonable in relation to rents being charged for comparable units taking into account relevant features. In addition, the rents may not exceed rents currently being charged by the same owner for comparable unassisted units, and the portion of rents paid with grant funds may not exceed HUD-determined fair market rents. Condition – During the audit we tested 60 samples and noted: • For 7 samples no supporting documents were provided and we were not able to verify if the rent was reasonable. • For 1 sample the rent for comparable units at the same owner were lower than the assisted unit and there was no explanation why the rent was determined to be reasonable. • For 12 sample we could not verify evidence of review and approval of the rent reasonableness before the rent and the subsidy was approved. Questioned Cost – Unknown Identification of a Repeat Finding – This is not a repeat finding from the immediate previous audit Cause/Effect – There was a high staff turnover during the COVID-19 pandemic and staff responsible for the determination and the documentation was no longer available. As a result, we could not verify the reasonableness of rent payments. Recommendation – We recommend that all rent reasonableness determinations are properly documented. All records should be monitored in the tenant files to evidence the rent reasonable determinations. The documentation should be reviewed and approved before rents and rent subsidies are authorized and disbursed.
Program Name – Continuum of Care Program CFDA Number – 14.267 Finding Type – Material Weakness and Noncompliance Criteria – Each program participant on whose behalf rental assistance payments are made must pay a contribution toward rent in accordance with section 3(a)(1) of the U.S. Housing Act of 1937 (42 U.S.C. 1437a(a)(1)). Income of program participants must be calculated in accordance with 24 CFR 5.609 and 24 CFR 5.611(a). For each program participant who receives housing assistance where rent or an occupancy charge is paid by the program participant, the recipient must keep the income evaluation form specified by HUD and completed by the recipient. Condition – During the audit we tested 60 samples and noted: • For 2 of the samples tested the calculated tenant contribution resulted in lower housing assistant than the one charged to the program. • For 7 of the samples tested the income evaluation form was not available for review and we could not verify that the housing assistance amount charge to the program was accurate based on the participants’ income. Questioned Cost – Unknown Identification of a Repeat Finding – This is not a repeat finding from the immediate previous audit Cause/Effect – Due to the issues noted above, we could not verify the accuracy of certain tenant contribution calculations and amounts. Recommendation – We recommend that MAP maintains documentation for all income verification including Recertification and Adjustment Notification forms for each program participants.
Program Name – Continuum of Care Program CFDA Number – 14.267 Finding Type – Material Weakness and Noncompliance Criteria – Where grants are used to pay rent for individual housing units, the rent paid must be reasonable in relation to rents being charged for comparable units taking into account relevant features. In addition, the rents may not exceed rents currently being charged by the same owner for comparable unassisted units, and the portion of rents paid with grant funds may not exceed HUD-determined fair market rents. Condition – During the audit we tested 60 samples and noted: • For 7 samples no supporting documents were provided and we were not able to verify if the rent was reasonable. • For 1 sample the rent for comparable units at the same owner were lower than the assisted unit and there was no explanation why the rent was determined to be reasonable. • For 12 sample we could not verify evidence of review and approval of the rent reasonableness before the rent and the subsidy was approved. Questioned Cost – Unknown Identification of a Repeat Finding – This is not a repeat finding from the immediate previous audit Cause/Effect – There was a high staff turnover during the COVID-19 pandemic and staff responsible for the determination and the documentation was no longer available. As a result, we could not verify the reasonableness of rent payments. Recommendation – We recommend that all rent reasonableness determinations are properly documented. All records should be monitored in the tenant files to evidence the rent reasonable determinations. The documentation should be reviewed and approved before rents and rent subsidies are authorized and disbursed.
Program Name – Continuum of Care Program CFDA Number – 14.267 Finding Type – Material Weakness and Noncompliance Criteria – Each program participant on whose behalf rental assistance payments are made must pay a contribution toward rent in accordance with section 3(a)(1) of the U.S. Housing Act of 1937 (42 U.S.C. 1437a(a)(1)). Income of program participants must be calculated in accordance with 24 CFR 5.609 and 24 CFR 5.611(a). For each program participant who receives housing assistance where rent or an occupancy charge is paid by the program participant, the recipient must keep the income evaluation form specified by HUD and completed by the recipient. Condition – During the audit we tested 60 samples and noted: • For 2 of the samples tested the calculated tenant contribution resulted in lower housing assistant than the one charged to the program. • For 7 of the samples tested the income evaluation form was not available for review and we could not verify that the housing assistance amount charge to the program was accurate based on the participants’ income. Questioned Cost – Unknown Identification of a Repeat Finding – This is not a repeat finding from the immediate previous audit Cause/Effect – Due to the issues noted above, we could not verify the accuracy of certain tenant contribution calculations and amounts. Recommendation – We recommend that MAP maintains documentation for all income verification including Recertification and Adjustment Notification forms for each program participants.
Program Name – Continuum of Care Program CFDA Number – 14.267 Finding Type – Material Weakness and Noncompliance Criteria – Where grants are used to pay rent for individual housing units, the rent paid must be reasonable in relation to rents being charged for comparable units taking into account relevant features. In addition, the rents may not exceed rents currently being charged by the same owner for comparable unassisted units, and the portion of rents paid with grant funds may not exceed HUD-determined fair market rents. Condition – During the audit we tested 60 samples and noted: • For 7 samples no supporting documents were provided and we were not able to verify if the rent was reasonable. • For 1 sample the rent for comparable units at the same owner were lower than the assisted unit and there was no explanation why the rent was determined to be reasonable. • For 12 sample we could not verify evidence of review and approval of the rent reasonableness before the rent and the subsidy was approved. Questioned Cost – Unknown Identification of a Repeat Finding – This is not a repeat finding from the immediate previous audit Cause/Effect – There was a high staff turnover during the COVID-19 pandemic and staff responsible for the determination and the documentation was no longer available. As a result, we could not verify the reasonableness of rent payments. Recommendation – We recommend that all rent reasonableness determinations are properly documented. All records should be monitored in the tenant files to evidence the rent reasonable determinations. The documentation should be reviewed and approved before rents and rent subsidies are authorized and disbursed.
Program Name – Continuum of Care Program CFDA Number – 14.267 Finding Type – Material Weakness and Noncompliance Criteria – Each program participant on whose behalf rental assistance payments are made must pay a contribution toward rent in accordance with section 3(a)(1) of the U.S. Housing Act of 1937 (42 U.S.C. 1437a(a)(1)). Income of program participants must be calculated in accordance with 24 CFR 5.609 and 24 CFR 5.611(a). For each program participant who receives housing assistance where rent or an occupancy charge is paid by the program participant, the recipient must keep the income evaluation form specified by HUD and completed by the recipient. Condition – During the audit we tested 60 samples and noted: • For 2 of the samples tested the calculated tenant contribution resulted in lower housing assistant than the one charged to the program. • For 7 of the samples tested the income evaluation form was not available for review and we could not verify that the housing assistance amount charge to the program was accurate based on the participants’ income. Questioned Cost – Unknown Identification of a Repeat Finding – This is not a repeat finding from the immediate previous audit Cause/Effect – Due to the issues noted above, we could not verify the accuracy of certain tenant contribution calculations and amounts. Recommendation – We recommend that MAP maintains documentation for all income verification including Recertification and Adjustment Notification forms for each program participants.
Program Name – Continuum of Care Program CFDA Number – 14.267 Finding Type – Material Weakness and Noncompliance Criteria – Where grants are used to pay rent for individual housing units, the rent paid must be reasonable in relation to rents being charged for comparable units taking into account relevant features. In addition, the rents may not exceed rents currently being charged by the same owner for comparable unassisted units, and the portion of rents paid with grant funds may not exceed HUD-determined fair market rents. Condition – During the audit we tested 60 samples and noted: • For 7 samples no supporting documents were provided and we were not able to verify if the rent was reasonable. • For 1 sample the rent for comparable units at the same owner were lower than the assisted unit and there was no explanation why the rent was determined to be reasonable. • For 12 sample we could not verify evidence of review and approval of the rent reasonableness before the rent and the subsidy was approved. Questioned Cost – Unknown Identification of a Repeat Finding – This is not a repeat finding from the immediate previous audit Cause/Effect – There was a high staff turnover during the COVID-19 pandemic and staff responsible for the determination and the documentation was no longer available. As a result, we could not verify the reasonableness of rent payments. Recommendation – We recommend that all rent reasonableness determinations are properly documented. All records should be monitored in the tenant files to evidence the rent reasonable determinations. The documentation should be reviewed and approved before rents and rent subsidies are authorized and disbursed.
Program Name – Continuum of Care Program CFDA Number – 14.267 Finding Type – Material Weakness and Noncompliance Criteria – Each program participant on whose behalf rental assistance payments are made must pay a contribution toward rent in accordance with section 3(a)(1) of the U.S. Housing Act of 1937 (42 U.S.C. 1437a(a)(1)). Income of program participants must be calculated in accordance with 24 CFR 5.609 and 24 CFR 5.611(a). For each program participant who receives housing assistance where rent or an occupancy charge is paid by the program participant, the recipient must keep the income evaluation form specified by HUD and completed by the recipient. Condition – During the audit we tested 60 samples and noted: • For 2 of the samples tested the calculated tenant contribution resulted in lower housing assistant than the one charged to the program. • For 7 of the samples tested the income evaluation form was not available for review and we could not verify that the housing assistance amount charge to the program was accurate based on the participants’ income. Questioned Cost – Unknown Identification of a Repeat Finding – This is not a repeat finding from the immediate previous audit Cause/Effect – Due to the issues noted above, we could not verify the accuracy of certain tenant contribution calculations and amounts. Recommendation – We recommend that MAP maintains documentation for all income verification including Recertification and Adjustment Notification forms for each program participants.