Audit 378189

14.871 – Section 8 Housing Choice Vouchers N1. Selection from Waiting List – Significant Deficiency and Compliance Finding Condition: During review of the Housing Choice Vouchers program, RBT noted that although the Organization has an administrative plan for selecting applicants from the waiting list, there is no documentation to show the policies are being followed. Criteria: As a condition of receiving federal awards, the Organization agrees to comply with laws and regulations, and the provisions of grant agreements and contracts, which requires the Organization to maintain documentation showing the policies were followed when selecting applicants for admission from the waiting list. Cause: The Organization was unaware that it should maintain documentation to prove waiting list policies and procedures were followed. Effect: Potential loss of funding due to noncompliance. Perspective: 10 of 10 tenants admitted to the HCV program selected for testing were not in compliance based on lack of documentation to prove waiting list procedures were followed. Recommendation: RBT recommends that the Organization takes a snap shot of an applicant's position on the waiting list prior to being selected to prove that waiting list procedures are being followed.

14.871 – Section 8 Housing Choice Vouchers E. Eligibility – Significant Deficiency and Compliance Finding Condition: During review of the Housing Choice Voucher tenant files, RBT noted that tenant recertifications were not being performed timely. Criteria: As a condition of continued occupancy, the Organization must reexamine family income and composition at least once every 12 months and adjust tenant rent and housing assistance payments as necessary using the documentation from third party verification. Cause: The Organization switched to a new software in October 2023 and was unfamiliar with the reports that are generated to identify recertification that were coming due. The aging reports that were used to identify tenants that have approaching recertifications were filtered in the software, resulting in tenants being excluded from the reports. Effect: Potential loss of funding due to noncompliance. Perspective: The tenant recertifications were not completed within 12 months for 7 out of 25 tenant files selected for testing. Recommendation: RBT recommends that the Organization ensure aging reports in the software are filtered properly to include all tenants with approaching recertifications to ensure no recertifications are missed.

14.241 – Housing Opportunities for Persons with AIDs E. Eligibility and N2. Housing Quality Standards – Significant Deficiency and Compliance Finding Condition: During review of the HOPWA tenant files, RBT noted that a tenant’s recertification and housing quality inspection was not performed timely. Criteria: As a condition of continued occupancy, the Organization must reexamine family income and composition at least once every 12 months to verify continued eligibility for assistance. The Organization must perform annual housing quality standard inspections for all housing that involves tenant-based rental assistance. Cause: The Organization did not have controls in place to ensure recertifications and housing quality standard inspections were performed timely. Staff members were not available at the time a recertification and housing quality standard inspection was due. Effect: Potential loss of funding due to noncompliance. Perspective: The tenant recertification and housing quality standard inspection was not completed timely for 1 out of 9 tenant files selected for testing. Recommendation: RBT recommends that the Organization implement controls to ensure that tenant recertifications and housing quality standard inspections are performed timely.