Audit 371221

Federal Agency: U.S. Department of Housing and Urban Development Federal Program Titles: Housing Voucher Cluster - Section 8 Housing Choice Vouchers, Mainstream Vouchers, and Emergency Housing Vouchers Programs Assistance Listing Number: 14.871, 14.879, and 14.EHV Noncompliance – L. Reporting - Special Reporting Non Compliance Material to the Financial Statements: No Significant Deficiency in Internal Control over Compliance for Reporting Criteria: Special Reporting. The PHA must do the following: As a condition of admission or continued occupancy, require the tenant and other family member to provide necessary information, documentation, and releases for the PHA to verify income eligibility (24 CFR sections 5.230, 5.609, and 982.516). These files are required to be maintained and available for examination at the time of audit. Condition: Based upon inspection of the Authority's files and on discussion with management, the Authority included miscalculated income on the tenants' HUD-50058 form during their annual reexamination. Context: There are approximately one thousand nine hundred twenty two (1,922) Housing Voucher Cluster units. Of a sample size of thirty two (32) tenant files, one (1) tenants' annual recertification (HUD-50058 form) included income that was miscalculated. Our sample size is statistically valid. Known Questioned Costs: Amount is below threshold of $25,000. Cause: An error was made in the calculation of Social Security income that was included on the tenant's submitted HUD-50058 form. Effect: The Housing Voucher Cluster is in non-compliance with the reporting type of compliance related to special reporting. Recommendation: We recommend the Authority modify their internal control procedures to increase oversight and assure compliance with the Uniform Guidance and the compliance supplement.