Audit 410746

Compliance Requirement: Cash Management Condition and Criteria: Housing Authorities are required to have a sound cash management system in place to ensure that funds are reimbursed on a timely basis. During the current fiscal year audit, it was noted that business activities owed the component unit account amounts that are not expected to be repaid in the 2025 fiscal year. Assistance Listing Number: 14.195, Section Eight Housing Assistance Payments Program Type of Finding: Material Weakness Cause: The internal control structure was not adequate to prevent these deficiencies. Effect: Funds were not reimbursed on a timely basis. Questioned Costs: None known. Auditors’ Recommendation: We recommend that the Housing Authority strengthen its internal controls to ensure funds are reimbursed on a timely basis.

Compliance Requirement: Accounting Internal Controls Condition and Criteria: Housing Authorities are required to have a sound internal control system in place to ensure that the financial statements are fairly stated, in all material respects, in accordance with Generally Accepted Accounting Principles. It was noted that the unaudited multifamily submission was not submitted correctly for calendar year 2021. Furthermore, the Housing Authority has not submitted unaudited multifamily submissions for calendar years 2022 through 2025. Also, it was noted that numerous entries had to be made in order to achieve this goal. Type of Finding: Significant Deficiency Cause: The internal control structure was not adequate to prevent these deficiencies. Effect: Numerous audit adjusting entries had to be made. Questioned Costs: None known. Auditors’ Recommendation: We recommend that the Housing Authority strengthen its internal controls to compliance with this requirement.