Audit 373239

Federal Program – Supportive Housing for Veterans (Supportive Services for Veterans Families) (SSVF) Assistance Listing Number – 64.033 Significant Deficiency Criteria: The SSVF Program Guide (March 2021) Section V, Subsection C. Determining Income Eligibility, provides a summary of asset inclusions and exclusions for use in evaluating assets. Assets must be evaluated at entry to SSVF and at recertification. Condition/Context: The Office of Business Oversight (OBO) performed a review to assess the Organization’s compliance with SSVF program and other federal requirements and regulations. During this review, OBO found 45 case files missing evidence that the grantee evaluated assets (inclusions and exclusions) for certification of eligibility. Due to the timing of the 2023 audit, this was not able to be corrected during 2024. Cause: Management misinterpreted the guidance and was not aware of the need to document asset evaluations if the veteran did not have any assets. Effect: The Organization’s failure to obtain and keep adequate income supporting documentation in the case files may result in the Organization providing services to an ineligible veteran or household. Questioned Costs: None Identification as a repeat finding: This is a repeat finding. Recommendation: We noted the Organization implemented the required use of the SSVF Asset Calculation Worksheet; updated the Organization’s policies and procedures to document the new processes; and provided training to individuals authorized to prepare eligibility documents and maintain case file documentation. We recommend management continue to monitor the use of these added procedures and to review program requirements on at least an annual basis. Views of responsible officials and planned corrective actions: Management’s response is reported in “Corrective Action Plan” at the end of this report.

Federal Program – Supportive Housing for Veterans (Supportive Services for Veterans Families) (SSVF) Assistance Listing Number – 64.033 Significant Deficiency Criteria: The SSVF Program Guide (March 2021) Section VII, Subsection E. Notification to Participants, states: “To ensure that Veteran families receiving supportive services under the SSVF Program are receiving quality services, the grantee must give a VA-designated satisfaction survey to each participant within 30 days of the participant’s pending exit from the grantee’s program.” Condition/Context: The Office of Business Oversight (OBO) performed a review to assess the Organization’s compliance with SSVF program and other federal requirements and regulations. During this review, OBO found 15 case files where the Organization provided the VA-designated satisfaction survey late. Due to the timing of the 2023 audit, this was not able to be corrected during 2024. Cause: As a result of staff turnover, the Organization failed to develop adequate internal controls to ensure management monitored case manager development and reviewed case files for adequate documentation. Effect: The Organization’s failure to provide the VA-designated satisfaction survey within 30 days may decrease feedback to the SSVF Program, which may result in veterans not receiving appropriate assistance and quality services. Questioned Costs: None Identification as a repeat finding: This is a repeat finding. Recommendation: We noted the Organization updated the Organization’s policies and procedures to reflect revised expectations and use of the VA-designated satisfaction survey; provided training to staff on new processes and maintains a list of personnel trained for auditor review; and as management reviews files for discharge, the VA Satisfaction Survey is reviewed for date of submission. We recommend management continue to monitor the use of these added procedures and to review program requirements on at least an annual basis. Views of responsible officials and planned corrective actions: Management’s response is reported in “Corrective Action Plan” at the end of this report.

Federal Program – Supportive Housing for Veterans (Supportive Services for Veterans Families) (SSVF) Assistance Listing Number – 64.033 Significant Deficiency Criteria: The SSVF Program Guide Section VIII, Fiscal Administration, Subsection E. Documentation Required, states: “Grantees must use adequate financial management systems that follow generally accepted accounting principles (GAAP) and provide adequate fiscal control and account records including cost accounting records supported by documentation. Grantees must also maintain all back up documentation and invoices to support the costs paid with SSVF funds.” Condition/Context: During the OBO review, OBO found the Organization was unable to provide a general ledger detail that separated administrative costs from general costs. Due to the timing of the 2023 audit, this was not able to be corrected during 2024. Cause: Because the Organization’s SSVF administrative costs are allocated payroll expenses, management was unaware they needed to segregate the administrative costs in the general ledger. Effect: The Organization’s failure to provide a general ledger that separates administrative and general expenses increases the risk of inaccurate financial results being provided at closeout or unauthorized and ineligible expenses being charged to the award, which may result in subsequent funding shortages for other qualified expenses. Questioned Costs: None Identification as a repeat finding: This is a repeat finding. Recommendation: We recommend the Organization update the coding in the financial system to include different classes under the administrative code. Views of responsible officials and planned corrective actions: Management’s response is reported in “Corrective Action Plan” at the end of this report.