Audit 391140

2025-001 (Noncompliance): Special Tests and Provisions – Housing Standards Criteria: Under CFR 92.209(i), housing occupied by a family receiving tenant-based assistance through the Home Investment Partnership Program must meet property standards under CFR 92.251. Housing must be inspected initially and re-inspected annually. Condition: The Organization did not perform any housing standards inspections for recipients of tenant-based rental assistance through the Home Investment Partnership Program during a portion of the year ended June 30, 2025. Questioned Costs: There were no questioned costs associated with this finding. Effect: The U.S. Department of Housing and Urban Development establishes housing standards to ensure that housing provided through its program is decent, safe, and sanitary for low-income families, and to protect the integrity of its programs. If housing units are not inspected, these objectives may not be met. Recommendation: The Organization should improve its understanding of the housing standards and inspection requirements associated with the Home Investment Partnership Program and create policies and procedures to ensure that this compliance requirement is met for future tenant-based rent assistance units.

2025-002 (Noncompliance): Special Tests and Provisions – Tenant Protections Criteria: Under CFR 92.504(c), tenant-based rental assistance leases through Home Investment Partnership Program must include a written agreement between the tenant and the landlord that conforms to CFR 92.253. Condition: In a random sample of 20 leases for which tenant-based rent assistance was awarded through the Home Investment Partnership Program during the year ending June 30, 2025, 9 did not include the necessary language to conform with CFR 92.253. For a portion of the year, the Organization did not evaluate leases to ensure that the tenant protections required by CFR 92.253 were included. Questioned Costs: There were no questioned costs associated with this finding. Effect: The U.S. Department of Housing and Urban Development requires certain tenant protection language to help ensure fair housing practices, prevent discrimination, and protect low-income residents from hardship. If the required written agreements are not in place, these objectives may not be met. Recommendation: The Organization should improve its understanding of the tenant protection requirements associated with the Home Investment Partnership Program and create policies and procedures to ensure that this compliance requirement is met for future tenant-based rent assistance units.