Assistance Listing Number, Federal Agency, and Program Name U.S. Department of Housing and Urban Development Direct programs Low income Public Housing and Development 14.850a Federal Award Identification Number and Year Not applicable Pass through Entity Not applicable Finding Type Significant deficiency Repeat Finding No Criteria Under 24 CFR 5.230, 5.601, 5.609, 960.206, 960.208, 960.253, 960.255, 960.257, and 960.259, the Commission must: a. As a condition of admission or continued occupancy, require the tenant and other family members to provide necessary information, documentation, and releases for the Commission to verify income eligibility. b. For both family income examinations and reexaminations, obtain and document in the family file third party verification of: (1) reported family annual income, (2) the value of assets, (3) expenses related to deductions from annual income, and (4) other factors that affect the determination of adjusted income or income based rent. c. Determine income eligibility and calculate the tenant?s rent payment using documentation from third party verification. d. Select tenants from the public housing waiting list (see special tests and provisions public housing waiting list). e. Reexamine family income and composition at least once every 12 months and adjust the tenant rent and housing assistance payment as necessary using the documentation from third party verification. Condition Participant files selected for testing did not include complete information to support the level of benefits provided. Questioned Costs $21 Identification of How Questioned Costs Were Computed Questioned costs were computed on the individuals below by identifying overpayments of subsidy charged compared to the appropriate amount. Context A total of 60 tenant files were tested, and the results are as follows: Of the files tested, one participant lacked income support and upon recalculation of income there was an increase in tenant rent. 2 participant files used the incorrect utility reimbursement amount, resulting in a miscalculation of tenant rent. Cause and Effect The Commission does not have the proper controls in place to ensure proper compliance with regard to tenant eligibility requirements. Due to the lack of adequate controls, questioned costs for overpayment of subsidy were identified above. Recommendation The Commission should establish procedures to ensure participant eligibility is accurately calculated and reviewed annually. Periodic internal review of tenant files would help identify errors in a timely manner. Views of Responsible Officials and Planned Corrective Actions While the Detroit Housing Commission works towards implementing Rent Cafe, an electronic platform to allow applicants, residents, and management the ability to streamline the continued occupancy and eligibility process, the Commission will continue to utilize the manual application process with the following controls in place: 1. There will be ongoing training to support staff in public housing rent calculation. Within the designated training, housing specialists, property managers, assistant property managers, and compliance specialists will focus on correctly calculating subsidy for applicants and residents. Trainings will include, but are not limited to, properly identifying and verifying income, expenses, allowances, adjusted income, total tenant payment (TTP), utility standards, PHA payment, and subsidy standards. 2. Regional managers will conduct the first line of quality control file reviews. Upon housing specialist, property manager, and assistant property manager completing initial eligibility, annual, and interim recertifications, regional managers will review the proposed certification against the certification?s checklist for approval. 3. The compliance department will conduct ongoing quality control file reviews on a 10 percent sample selection of households to ensure timely completion and accuracy of ongoing participant rent determination. a. When deficiencies are identified during a quality control review, site staff will have seven days to cure and upload the corrective file to SharePoint. b. The final quality control review will also include reconciliation for acceptance of the electronic file to PIC. 4. To address the incorrect utility allowance amounts being utilized to calculate tenant rent, the following will occur: a. The Commission?s REM department will work with the Commission?s IT department to update the utility allowance tables in the housing?s Yardi software. Current utility allowances will be entered in the software?s utility allowance table and will prepopulate based on the action type and effective date of the recertification. b. Site staff will include the printed utility allowance chart within the certification with the allowance amount provided clearly identified for review by the regional manager when conducting the first line of quality control file review.
Assistance Listing Number, Federal Agency, and Program Name U.S. Department of Housing and Urban Development Direct programs Low income Public Housing and Development 14.850a Federal Award Identification Number and Year Not applicable Pass through Entity Not applicable Finding Type Significant deficiency Repeat Finding No Criteria Under 24 CFR 5.230, 5.601, 5.609, 960.206, 960.208, 960.253, 960.255, 960.257, and 960.259, the Commission must: a. As a condition of admission or continued occupancy, require the tenant and other family members to provide necessary information, documentation, and releases for the Commission to verify income eligibility. b. For both family income examinations and reexaminations, obtain and document in the family file third party verification of: (1) reported family annual income, (2) the value of assets, (3) expenses related to deductions from annual income, and (4) other factors that affect the determination of adjusted income or income based rent. c. Determine income eligibility and calculate the tenant?s rent payment using documentation from third party verification. d. Select tenants from the public housing waiting list (see special tests and provisions public housing waiting list). e. Reexamine family income and composition at least once every 12 months and adjust the tenant rent and housing assistance payment as necessary using the documentation from third party verification. Condition Participant files selected for testing did not include complete information to support the level of benefits provided. Questioned Costs $21 Identification of How Questioned Costs Were Computed Questioned costs were computed on the individuals below by identifying overpayments of subsidy charged compared to the appropriate amount. Context A total of 60 tenant files were tested, and the results are as follows: Of the files tested, one participant lacked income support and upon recalculation of income there was an increase in tenant rent. 2 participant files used the incorrect utility reimbursement amount, resulting in a miscalculation of tenant rent. Cause and Effect The Commission does not have the proper controls in place to ensure proper compliance with regard to tenant eligibility requirements. Due to the lack of adequate controls, questioned costs for overpayment of subsidy were identified above. Recommendation The Commission should establish procedures to ensure participant eligibility is accurately calculated and reviewed annually. Periodic internal review of tenant files would help identify errors in a timely manner. Views of Responsible Officials and Planned Corrective Actions While the Detroit Housing Commission works towards implementing Rent Cafe, an electronic platform to allow applicants, residents, and management the ability to streamline the continued occupancy and eligibility process, the Commission will continue to utilize the manual application process with the following controls in place: 1. There will be ongoing training to support staff in public housing rent calculation. Within the designated training, housing specialists, property managers, assistant property managers, and compliance specialists will focus on correctly calculating subsidy for applicants and residents. Trainings will include, but are not limited to, properly identifying and verifying income, expenses, allowances, adjusted income, total tenant payment (TTP), utility standards, PHA payment, and subsidy standards. 2. Regional managers will conduct the first line of quality control file reviews. Upon housing specialist, property manager, and assistant property manager completing initial eligibility, annual, and interim recertifications, regional managers will review the proposed certification against the certification?s checklist for approval. 3. The compliance department will conduct ongoing quality control file reviews on a 10 percent sample selection of households to ensure timely completion and accuracy of ongoing participant rent determination. a. When deficiencies are identified during a quality control review, site staff will have seven days to cure and upload the corrective file to SharePoint. b. The final quality control review will also include reconciliation for acceptance of the electronic file to PIC. 4. To address the incorrect utility allowance amounts being utilized to calculate tenant rent, the following will occur: a. The Commission?s REM department will work with the Commission?s IT department to update the utility allowance tables in the housing?s Yardi software. Current utility allowances will be entered in the software?s utility allowance table and will prepopulate based on the action type and effective date of the recertification. b. Site staff will include the printed utility allowance chart within the certification with the allowance amount provided clearly identified for review by the regional manager when conducting the first line of quality control file review.
Assistance Listing Number, Federal Agency, and Program Name Housing Vouchers Cluster 14.871 and 14.879 Federal Award Identification Number and Year Not applicable Pass through Entity Not applicable Finding Type Material weakness and material noncompliance with laws and regulations Repeat Finding No Criteria Under 24 CFR 5.230, 5.609, 982.201, 982.515, 982.516, and 982.516, the Commission must: a. As a condition of admission or continued occupancy, require the tenant and other family members to provide necessary information, documentation, and releases for the PHA to verify income eligibility. b. For both family income examinations and reexaminations, obtain and document in the family file third party verification of (1) reported family annual income; (2) the value of assets; (3) expenses related to deductions from annual income; and (4) other factors that affect the determination of adjusted income or income based rent. c. Determine income eligibility and calculate the tenant?s rent payment using the documentation from third party verification. d. Select tenants from the HCVP waiting list (see special tests and provisions HCVP waiting list). e. Reexamine family income and composition at least once every 12 months and adjust the tenant rent and housing assistance payment as necessary using the documentation from third party verification. Condition The Commission did not complete fiscal year 2022 recertification. Questioned Costs Unknown Identification of How Questioned Costs Were Computed Not applicable Context 40 tenant files were tested, and the results are as follows: A total of 5 participant files did not include fiscal year 2022 recertifications due to delays with tenants due to the pandemic. Cause and Effect The Commission did not have the proper controls in place to ensure that the tenant recertifications are completed annually for each tenant. Due to the lack of adequate controls, recertifications were not performed and housing assistance payments could be incorrect. Recommendation The Commission should establish procedures to ensure participant recertifications are documented and completed annually. Views of Responsible Officials and Corrective Action Plan Staff will be retrained on the compliance requirements under the standards of the HCV Program through the oversight of the rental assistance department manager and continued occupancy supervisor. The department manager and supervisor will continue to utilize all Yardi monitoring reports to ensure the department is operating in accordance with industry standards. Reporting will be done and monitored monthly to meet set goals. We know and maintain we will work in accordance with HUD rules and regulations where annual recertification processes are concerned. The department manager will review the certification pipeline weekly to ensure compliance and follow up with the housing specialist to ensure compliance and meeting set weekly and monthly goals and metrics.
Assistance Listing Number, Federal Agency, and Program Name Housing Vouchers Cluster 14.871 and 14.879 Federal Award Identification Number and Year Not applicable Pass through Entity Not applicable Finding Type Material weakness and material noncompliance with laws and regulations Repeat Finding No Criteria Under 24 CFR 5.230, 5.609, 982.201, 982.515, 982.516, and 982.516, the Commission must: a. As a condition of admission or continued occupancy, require the tenant and other family members to provide necessary information, documentation, and releases for the PHA to verify income eligibility. b. For both family income examinations and reexaminations, obtain and document in the family file third party verification of (1) reported family annual income; (2) the value of assets; (3) expenses related to deductions from annual income; and (4) other factors that affect the determination of adjusted income or income based rent. c. Determine income eligibility and calculate the tenant?s rent payment using the documentation from third party verification. d. Select tenants from the HCVP waiting list (see special tests and provisions HCVP waiting list). e. Reexamine family income and composition at least once every 12 months and adjust the tenant rent and housing assistance payment as necessary using the documentation from third party verification. Condition Participant files selected for testing did not include complete information to support participant eligibility. Questioned Costs $7,965 Identification of How Questioned Costs Were Computed Questioned costs were computed on the individuals below by identifying overpayments of subsidy charged compared to the appropriate amount. Context A total of 40 tenant files were tested, and the results are as follows: A total of 12 participant files were delinquent recertifications due to management delays and completed after the recertification date. Cause and Effect The Commission did not have the proper controls in place to ensure tenant recertifications are completely timely. Due to the lack of adequate controls, questioned costs for overpayment of subsidy were identified above and the housing assistance payments could be incorrect for tenants. Recommendation The Commission should establish procedures to ensure participant recertification are documented and completed timely. Views of Responsible Officials and Planned Corrective Actions Staff will be retrained on the compliance requirements under the standards of the HCV Program through the oversight of the rental assistance department manager and continued occupancy supervisor. The department manager and supervisor will continue to utilize all Yardi monitoring reports to ensure the Department is operating in accordance with industry standards. Reporting will be done and monitored monthly to meet set goals. We know and maintain we will work in accordance with HUD rules and regulations where annual recertification processes are concerned. The department manager will review the certification pipeline weekly to ensure compliance and follow up with the housing specialist to ensure compliance and meeting set weekly and monthly goals and metrics.
Assistance Listing Number, Federal Agency, and Program Name Housing Vouchers Cluster 14.871 and 14.879 Federal Award Identification Number and Year Not applicable Pass through Entity Not applicable Finding Type Material weakness Repeat Finding No Criteria Under 24 CFR 982.158(d), 982.404, and 982.405(b) the Commission must: a. Inspect the unit leased to a family at least annually to determine if the unit meets Housing Quality Standards (HQS) and the PHA must conduct quality control reinspections. The PHA must prepare a unit inspection report. b. For units under HAP Contract that fail to meet HQS, the PHA must require the owner to correct any life threatening HQS deficiencies within 24 hours after the inspections and all other HQS deficiencies within 30 calendar days or within a specified PHA approved extension. If the owner does not correct the cited HQS deficiencies within the specified correction period, the PHA must stop (abate) HAPs beginning no later than the first of the month following the specified correction period or must terminate the HAP Contract. The owner is not responsible for a breach of HQS as a result of the family?s failure to pay for utilities for which the family is responsible under the lease or for tenant damage. For family caused defects, if the family does not correct the cited HQS deficiencies within the specified correction period, the PHA must take prompt and vigorous action to enforce the family obligations. Condition Inspections selected for testing did not include complete information to support completed inspections and enforcement of repairs. Questioned Costs Not applicable Identification of How Questioned Costs Were Computed Not applicable Context A total of 25 inspections were tested, and the results are as follows: Of the files tested, support that three inspections occurred were not provided. For an additional two inspections, additional support was not provided to complete testing of the enforcement of HQS deficiencies. Cause and Effect The Commission did not have the proper controls in place to ensure inspections are occurring timely. Due to the lack of adequate controls, the support for the inspections and corrections or repairs needed was not maintained. Housing assistance payments could be made to owners whose units do not meet the HQS standards. Recommendation The Commission should establish procedures to ensure inspections are performed annually and the corrections are corrected timely. Views of Responsible Officials and Planned Corrective Actions The landlord liaison will review the third party scheduled inspection report and reconcile it with the Yardi inspection report weekly to promptly ensure inspection completeness. Yardi reports will be reviewed and monitored by the department manager/supervisor to ensure we are operating in accordance with industry standards. The Yardi reports will also be utilized in working with our inspections contractor for accuracy and reliability with annual reporting to ensure all inspections are conducted in the regulatory timeframes whether initials, biannual, or quality control inspections to ensure housing stock is HQS compliant.
Assistance Listing Number, Federal Agency, and Program Name Housing Vouchers Cluster 14.871 and 14.879 Federal Award Identification Number and Year Not applicable Pass through Entity Not applicable Finding Type Material weakness and material noncompliance with laws and regulations Repeat Finding No Criteria Under 24 CFR 5.230, 5.609, 982.201, 982.515, 982.516, and 982.516, the Commission must: a. As a condition of admission or continued occupancy, require the tenant and other family members to provide necessary information, documentation, and releases for the PHA to verify income eligibility. b. For both family income examinations and reexaminations, obtain and document in the family file third party verification of (1) reported family annual income; (2) the value of assets; (3) expenses related to deductions from annual income; and (4) other factors that affect the determination of adjusted income or income based rent. c. Determine income eligibility and calculate the tenant?s rent payment using the documentation from third party verification. d. Select tenants from the HCVP waiting list (see special tests and provisions HCVP waiting list). e. Reexamine family income and composition at least once every 12 months and adjust the tenant rent and housing assistance payment as necessary using the documentation from third party verification. Condition The Commission did not complete fiscal year 2022 recertification. Questioned Costs Unknown Identification of How Questioned Costs Were Computed Not applicable Context 40 tenant files were tested, and the results are as follows: A total of 5 participant files did not include fiscal year 2022 recertifications due to delays with tenants due to the pandemic. Cause and Effect The Commission did not have the proper controls in place to ensure that the tenant recertifications are completed annually for each tenant. Due to the lack of adequate controls, recertifications were not performed and housing assistance payments could be incorrect. Recommendation The Commission should establish procedures to ensure participant recertifications are documented and completed annually. Views of Responsible Officials and Corrective Action Plan Staff will be retrained on the compliance requirements under the standards of the HCV Program through the oversight of the rental assistance department manager and continued occupancy supervisor. The department manager and supervisor will continue to utilize all Yardi monitoring reports to ensure the department is operating in accordance with industry standards. Reporting will be done and monitored monthly to meet set goals. We know and maintain we will work in accordance with HUD rules and regulations where annual recertification processes are concerned. The department manager will review the certification pipeline weekly to ensure compliance and follow up with the housing specialist to ensure compliance and meeting set weekly and monthly goals and metrics.
Assistance Listing Number, Federal Agency, and Program Name Housing Vouchers Cluster 14.871 and 14.879 Federal Award Identification Number and Year Not applicable Pass through Entity Not applicable Finding Type Material weakness and material noncompliance with laws and regulations Repeat Finding No Criteria Under 24 CFR 5.230, 5.609, 982.201, 982.515, 982.516, and 982.516, the Commission must: a. As a condition of admission or continued occupancy, require the tenant and other family members to provide necessary information, documentation, and releases for the PHA to verify income eligibility. b. For both family income examinations and reexaminations, obtain and document in the family file third party verification of (1) reported family annual income; (2) the value of assets; (3) expenses related to deductions from annual income; and (4) other factors that affect the determination of adjusted income or income based rent. c. Determine income eligibility and calculate the tenant?s rent payment using the documentation from third party verification. d. Select tenants from the HCVP waiting list (see special tests and provisions HCVP waiting list). e. Reexamine family income and composition at least once every 12 months and adjust the tenant rent and housing assistance payment as necessary using the documentation from third party verification. Condition Participant files selected for testing did not include complete information to support participant eligibility. Questioned Costs $7,965 Identification of How Questioned Costs Were Computed Questioned costs were computed on the individuals below by identifying overpayments of subsidy charged compared to the appropriate amount. Context A total of 40 tenant files were tested, and the results are as follows: A total of 12 participant files were delinquent recertifications due to management delays and completed after the recertification date. Cause and Effect The Commission did not have the proper controls in place to ensure tenant recertifications are completely timely. Due to the lack of adequate controls, questioned costs for overpayment of subsidy were identified above and the housing assistance payments could be incorrect for tenants. Recommendation The Commission should establish procedures to ensure participant recertification are documented and completed timely. Views of Responsible Officials and Planned Corrective Actions Staff will be retrained on the compliance requirements under the standards of the HCV Program through the oversight of the rental assistance department manager and continued occupancy supervisor. The department manager and supervisor will continue to utilize all Yardi monitoring reports to ensure the Department is operating in accordance with industry standards. Reporting will be done and monitored monthly to meet set goals. We know and maintain we will work in accordance with HUD rules and regulations where annual recertification processes are concerned. The department manager will review the certification pipeline weekly to ensure compliance and follow up with the housing specialist to ensure compliance and meeting set weekly and monthly goals and metrics.
Assistance Listing Number, Federal Agency, and Program Name Housing Vouchers Cluster 14.871 and 14.879 Federal Award Identification Number and Year Not applicable Pass through Entity Not applicable Finding Type Material weakness Repeat Finding No Criteria Under 24 CFR 982.158(d), 982.404, and 982.405(b) the Commission must: a. Inspect the unit leased to a family at least annually to determine if the unit meets Housing Quality Standards (HQS) and the PHA must conduct quality control reinspections. The PHA must prepare a unit inspection report. b. For units under HAP Contract that fail to meet HQS, the PHA must require the owner to correct any life threatening HQS deficiencies within 24 hours after the inspections and all other HQS deficiencies within 30 calendar days or within a specified PHA approved extension. If the owner does not correct the cited HQS deficiencies within the specified correction period, the PHA must stop (abate) HAPs beginning no later than the first of the month following the specified correction period or must terminate the HAP Contract. The owner is not responsible for a breach of HQS as a result of the family?s failure to pay for utilities for which the family is responsible under the lease or for tenant damage. For family caused defects, if the family does not correct the cited HQS deficiencies within the specified correction period, the PHA must take prompt and vigorous action to enforce the family obligations. Condition Inspections selected for testing did not include complete information to support completed inspections and enforcement of repairs. Questioned Costs Not applicable Identification of How Questioned Costs Were Computed Not applicable Context A total of 25 inspections were tested, and the results are as follows: Of the files tested, support that three inspections occurred were not provided. For an additional two inspections, additional support was not provided to complete testing of the enforcement of HQS deficiencies. Cause and Effect The Commission did not have the proper controls in place to ensure inspections are occurring timely. Due to the lack of adequate controls, the support for the inspections and corrections or repairs needed was not maintained. Housing assistance payments could be made to owners whose units do not meet the HQS standards. Recommendation The Commission should establish procedures to ensure inspections are performed annually and the corrections are corrected timely. Views of Responsible Officials and Planned Corrective Actions The landlord liaison will review the third party scheduled inspection report and reconcile it with the Yardi inspection report weekly to promptly ensure inspection completeness. Yardi reports will be reviewed and monitored by the department manager/supervisor to ensure we are operating in accordance with industry standards. The Yardi reports will also be utilized in working with our inspections contractor for accuracy and reliability with annual reporting to ensure all inspections are conducted in the regulatory timeframes whether initials, biannual, or quality control inspections to ensure housing stock is HQS compliant.
Assistance Listing Number, Federal Agency, and Program Name Housing Vouchers Cluster 14.871 and 14.879 Federal Award Identification Number and Year Not applicable Pass through Entity Not applicable Finding Type Material weakness and material noncompliance with laws and regulations Repeat Finding No Criteria Under 24 CFR 5.230, 5.609, 982.201, 982.515, 982.516, and 982.516, the Commission must: a. As a condition of admission or continued occupancy, require the tenant and other family members to provide necessary information, documentation, and releases for the PHA to verify income eligibility. b. For both family income examinations and reexaminations, obtain and document in the family file third party verification of (1) reported family annual income; (2) the value of assets; (3) expenses related to deductions from annual income; and (4) other factors that affect the determination of adjusted income or income based rent. c. Determine income eligibility and calculate the tenant?s rent payment using the documentation from third party verification. d. Select tenants from the HCVP waiting list (see special tests and provisions HCVP waiting list). e. Reexamine family income and composition at least once every 12 months and adjust the tenant rent and housing assistance payment as necessary using the documentation from third party verification. Condition The Commission did not complete fiscal year 2022 recertification. Questioned Costs Unknown Identification of How Questioned Costs Were Computed Not applicable Context 40 tenant files were tested, and the results are as follows: A total of 5 participant files did not include fiscal year 2022 recertifications due to delays with tenants due to the pandemic. Cause and Effect The Commission did not have the proper controls in place to ensure that the tenant recertifications are completed annually for each tenant. Due to the lack of adequate controls, recertifications were not performed and housing assistance payments could be incorrect. Recommendation The Commission should establish procedures to ensure participant recertifications are documented and completed annually. Views of Responsible Officials and Corrective Action Plan Staff will be retrained on the compliance requirements under the standards of the HCV Program through the oversight of the rental assistance department manager and continued occupancy supervisor. The department manager and supervisor will continue to utilize all Yardi monitoring reports to ensure the department is operating in accordance with industry standards. Reporting will be done and monitored monthly to meet set goals. We know and maintain we will work in accordance with HUD rules and regulations where annual recertification processes are concerned. The department manager will review the certification pipeline weekly to ensure compliance and follow up with the housing specialist to ensure compliance and meeting set weekly and monthly goals and metrics.
Assistance Listing Number, Federal Agency, and Program Name Housing Vouchers Cluster 14.871 and 14.879 Federal Award Identification Number and Year Not applicable Pass through Entity Not applicable Finding Type Material weakness and material noncompliance with laws and regulations Repeat Finding No Criteria Under 24 CFR 5.230, 5.609, 982.201, 982.515, 982.516, and 982.516, the Commission must: a. As a condition of admission or continued occupancy, require the tenant and other family members to provide necessary information, documentation, and releases for the PHA to verify income eligibility. b. For both family income examinations and reexaminations, obtain and document in the family file third party verification of (1) reported family annual income; (2) the value of assets; (3) expenses related to deductions from annual income; and (4) other factors that affect the determination of adjusted income or income based rent. c. Determine income eligibility and calculate the tenant?s rent payment using the documentation from third party verification. d. Select tenants from the HCVP waiting list (see special tests and provisions HCVP waiting list). e. Reexamine family income and composition at least once every 12 months and adjust the tenant rent and housing assistance payment as necessary using the documentation from third party verification. Condition Participant files selected for testing did not include complete information to support participant eligibility. Questioned Costs $7,965 Identification of How Questioned Costs Were Computed Questioned costs were computed on the individuals below by identifying overpayments of subsidy charged compared to the appropriate amount. Context A total of 40 tenant files were tested, and the results are as follows: A total of 12 participant files were delinquent recertifications due to management delays and completed after the recertification date. Cause and Effect The Commission did not have the proper controls in place to ensure tenant recertifications are completely timely. Due to the lack of adequate controls, questioned costs for overpayment of subsidy were identified above and the housing assistance payments could be incorrect for tenants. Recommendation The Commission should establish procedures to ensure participant recertification are documented and completed timely. Views of Responsible Officials and Planned Corrective Actions Staff will be retrained on the compliance requirements under the standards of the HCV Program through the oversight of the rental assistance department manager and continued occupancy supervisor. The department manager and supervisor will continue to utilize all Yardi monitoring reports to ensure the Department is operating in accordance with industry standards. Reporting will be done and monitored monthly to meet set goals. We know and maintain we will work in accordance with HUD rules and regulations where annual recertification processes are concerned. The department manager will review the certification pipeline weekly to ensure compliance and follow up with the housing specialist to ensure compliance and meeting set weekly and monthly goals and metrics.
Assistance Listing Number, Federal Agency, and Program Name Housing Vouchers Cluster 14.871 and 14.879 Federal Award Identification Number and Year Not applicable Pass through Entity Not applicable Finding Type Material weakness Repeat Finding No Criteria Under 24 CFR 982.158(d), 982.404, and 982.405(b) the Commission must: a. Inspect the unit leased to a family at least annually to determine if the unit meets Housing Quality Standards (HQS) and the PHA must conduct quality control reinspections. The PHA must prepare a unit inspection report. b. For units under HAP Contract that fail to meet HQS, the PHA must require the owner to correct any life threatening HQS deficiencies within 24 hours after the inspections and all other HQS deficiencies within 30 calendar days or within a specified PHA approved extension. If the owner does not correct the cited HQS deficiencies within the specified correction period, the PHA must stop (abate) HAPs beginning no later than the first of the month following the specified correction period or must terminate the HAP Contract. The owner is not responsible for a breach of HQS as a result of the family?s failure to pay for utilities for which the family is responsible under the lease or for tenant damage. For family caused defects, if the family does not correct the cited HQS deficiencies within the specified correction period, the PHA must take prompt and vigorous action to enforce the family obligations. Condition Inspections selected for testing did not include complete information to support completed inspections and enforcement of repairs. Questioned Costs Not applicable Identification of How Questioned Costs Were Computed Not applicable Context A total of 25 inspections were tested, and the results are as follows: Of the files tested, support that three inspections occurred were not provided. For an additional two inspections, additional support was not provided to complete testing of the enforcement of HQS deficiencies. Cause and Effect The Commission did not have the proper controls in place to ensure inspections are occurring timely. Due to the lack of adequate controls, the support for the inspections and corrections or repairs needed was not maintained. Housing assistance payments could be made to owners whose units do not meet the HQS standards. Recommendation The Commission should establish procedures to ensure inspections are performed annually and the corrections are corrected timely. Views of Responsible Officials and Planned Corrective Actions The landlord liaison will review the third party scheduled inspection report and reconcile it with the Yardi inspection report weekly to promptly ensure inspection completeness. Yardi reports will be reviewed and monitored by the department manager/supervisor to ensure we are operating in accordance with industry standards. The Yardi reports will also be utilized in working with our inspections contractor for accuracy and reliability with annual reporting to ensure all inspections are conducted in the regulatory timeframes whether initials, biannual, or quality control inspections to ensure housing stock is HQS compliant.
Assistance Listing Number, Federal Agency, and Program Name U.S. Department of Housing and Urban Development Direct programs Low income Public Housing and Development 14.850a Federal Award Identification Number and Year Not applicable Pass through Entity Not applicable Finding Type Significant deficiency Repeat Finding No Criteria Under 24 CFR 5.230, 5.601, 5.609, 960.206, 960.208, 960.253, 960.255, 960.257, and 960.259, the Commission must: a. As a condition of admission or continued occupancy, require the tenant and other family members to provide necessary information, documentation, and releases for the Commission to verify income eligibility. b. For both family income examinations and reexaminations, obtain and document in the family file third party verification of: (1) reported family annual income, (2) the value of assets, (3) expenses related to deductions from annual income, and (4) other factors that affect the determination of adjusted income or income based rent. c. Determine income eligibility and calculate the tenant?s rent payment using documentation from third party verification. d. Select tenants from the public housing waiting list (see special tests and provisions public housing waiting list). e. Reexamine family income and composition at least once every 12 months and adjust the tenant rent and housing assistance payment as necessary using the documentation from third party verification. Condition Participant files selected for testing did not include complete information to support the level of benefits provided. Questioned Costs $21 Identification of How Questioned Costs Were Computed Questioned costs were computed on the individuals below by identifying overpayments of subsidy charged compared to the appropriate amount. Context A total of 60 tenant files were tested, and the results are as follows: Of the files tested, one participant lacked income support and upon recalculation of income there was an increase in tenant rent. 2 participant files used the incorrect utility reimbursement amount, resulting in a miscalculation of tenant rent. Cause and Effect The Commission does not have the proper controls in place to ensure proper compliance with regard to tenant eligibility requirements. Due to the lack of adequate controls, questioned costs for overpayment of subsidy were identified above. Recommendation The Commission should establish procedures to ensure participant eligibility is accurately calculated and reviewed annually. Periodic internal review of tenant files would help identify errors in a timely manner. Views of Responsible Officials and Planned Corrective Actions While the Detroit Housing Commission works towards implementing Rent Cafe, an electronic platform to allow applicants, residents, and management the ability to streamline the continued occupancy and eligibility process, the Commission will continue to utilize the manual application process with the following controls in place: 1. There will be ongoing training to support staff in public housing rent calculation. Within the designated training, housing specialists, property managers, assistant property managers, and compliance specialists will focus on correctly calculating subsidy for applicants and residents. Trainings will include, but are not limited to, properly identifying and verifying income, expenses, allowances, adjusted income, total tenant payment (TTP), utility standards, PHA payment, and subsidy standards. 2. Regional managers will conduct the first line of quality control file reviews. Upon housing specialist, property manager, and assistant property manager completing initial eligibility, annual, and interim recertifications, regional managers will review the proposed certification against the certification?s checklist for approval. 3. The compliance department will conduct ongoing quality control file reviews on a 10 percent sample selection of households to ensure timely completion and accuracy of ongoing participant rent determination. a. When deficiencies are identified during a quality control review, site staff will have seven days to cure and upload the corrective file to SharePoint. b. The final quality control review will also include reconciliation for acceptance of the electronic file to PIC. 4. To address the incorrect utility allowance amounts being utilized to calculate tenant rent, the following will occur: a. The Commission?s REM department will work with the Commission?s IT department to update the utility allowance tables in the housing?s Yardi software. Current utility allowances will be entered in the software?s utility allowance table and will prepopulate based on the action type and effective date of the recertification. b. Site staff will include the printed utility allowance chart within the certification with the allowance amount provided clearly identified for review by the regional manager when conducting the first line of quality control file review.
Assistance Listing Number, Federal Agency, and Program Name U.S. Department of Housing and Urban Development Direct programs Low income Public Housing and Development 14.850a Federal Award Identification Number and Year Not applicable Pass through Entity Not applicable Finding Type Significant deficiency Repeat Finding No Criteria Under 24 CFR 5.230, 5.601, 5.609, 960.206, 960.208, 960.253, 960.255, 960.257, and 960.259, the Commission must: a. As a condition of admission or continued occupancy, require the tenant and other family members to provide necessary information, documentation, and releases for the Commission to verify income eligibility. b. For both family income examinations and reexaminations, obtain and document in the family file third party verification of: (1) reported family annual income, (2) the value of assets, (3) expenses related to deductions from annual income, and (4) other factors that affect the determination of adjusted income or income based rent. c. Determine income eligibility and calculate the tenant?s rent payment using documentation from third party verification. d. Select tenants from the public housing waiting list (see special tests and provisions public housing waiting list). e. Reexamine family income and composition at least once every 12 months and adjust the tenant rent and housing assistance payment as necessary using the documentation from third party verification. Condition Participant files selected for testing did not include complete information to support the level of benefits provided. Questioned Costs $21 Identification of How Questioned Costs Were Computed Questioned costs were computed on the individuals below by identifying overpayments of subsidy charged compared to the appropriate amount. Context A total of 60 tenant files were tested, and the results are as follows: Of the files tested, one participant lacked income support and upon recalculation of income there was an increase in tenant rent. 2 participant files used the incorrect utility reimbursement amount, resulting in a miscalculation of tenant rent. Cause and Effect The Commission does not have the proper controls in place to ensure proper compliance with regard to tenant eligibility requirements. Due to the lack of adequate controls, questioned costs for overpayment of subsidy were identified above. Recommendation The Commission should establish procedures to ensure participant eligibility is accurately calculated and reviewed annually. Periodic internal review of tenant files would help identify errors in a timely manner. Views of Responsible Officials and Planned Corrective Actions While the Detroit Housing Commission works towards implementing Rent Cafe, an electronic platform to allow applicants, residents, and management the ability to streamline the continued occupancy and eligibility process, the Commission will continue to utilize the manual application process with the following controls in place: 1. There will be ongoing training to support staff in public housing rent calculation. Within the designated training, housing specialists, property managers, assistant property managers, and compliance specialists will focus on correctly calculating subsidy for applicants and residents. Trainings will include, but are not limited to, properly identifying and verifying income, expenses, allowances, adjusted income, total tenant payment (TTP), utility standards, PHA payment, and subsidy standards. 2. Regional managers will conduct the first line of quality control file reviews. Upon housing specialist, property manager, and assistant property manager completing initial eligibility, annual, and interim recertifications, regional managers will review the proposed certification against the certification?s checklist for approval. 3. The compliance department will conduct ongoing quality control file reviews on a 10 percent sample selection of households to ensure timely completion and accuracy of ongoing participant rent determination. a. When deficiencies are identified during a quality control review, site staff will have seven days to cure and upload the corrective file to SharePoint. b. The final quality control review will also include reconciliation for acceptance of the electronic file to PIC. 4. To address the incorrect utility allowance amounts being utilized to calculate tenant rent, the following will occur: a. The Commission?s REM department will work with the Commission?s IT department to update the utility allowance tables in the housing?s Yardi software. Current utility allowances will be entered in the software?s utility allowance table and will prepopulate based on the action type and effective date of the recertification. b. Site staff will include the printed utility allowance chart within the certification with the allowance amount provided clearly identified for review by the regional manager when conducting the first line of quality control file review.
Assistance Listing Number, Federal Agency, and Program Name Housing Vouchers Cluster 14.871 and 14.879 Federal Award Identification Number and Year Not applicable Pass through Entity Not applicable Finding Type Material weakness and material noncompliance with laws and regulations Repeat Finding No Criteria Under 24 CFR 5.230, 5.609, 982.201, 982.515, 982.516, and 982.516, the Commission must: a. As a condition of admission or continued occupancy, require the tenant and other family members to provide necessary information, documentation, and releases for the PHA to verify income eligibility. b. For both family income examinations and reexaminations, obtain and document in the family file third party verification of (1) reported family annual income; (2) the value of assets; (3) expenses related to deductions from annual income; and (4) other factors that affect the determination of adjusted income or income based rent. c. Determine income eligibility and calculate the tenant?s rent payment using the documentation from third party verification. d. Select tenants from the HCVP waiting list (see special tests and provisions HCVP waiting list). e. Reexamine family income and composition at least once every 12 months and adjust the tenant rent and housing assistance payment as necessary using the documentation from third party verification. Condition The Commission did not complete fiscal year 2022 recertification. Questioned Costs Unknown Identification of How Questioned Costs Were Computed Not applicable Context 40 tenant files were tested, and the results are as follows: A total of 5 participant files did not include fiscal year 2022 recertifications due to delays with tenants due to the pandemic. Cause and Effect The Commission did not have the proper controls in place to ensure that the tenant recertifications are completed annually for each tenant. Due to the lack of adequate controls, recertifications were not performed and housing assistance payments could be incorrect. Recommendation The Commission should establish procedures to ensure participant recertifications are documented and completed annually. Views of Responsible Officials and Corrective Action Plan Staff will be retrained on the compliance requirements under the standards of the HCV Program through the oversight of the rental assistance department manager and continued occupancy supervisor. The department manager and supervisor will continue to utilize all Yardi monitoring reports to ensure the department is operating in accordance with industry standards. Reporting will be done and monitored monthly to meet set goals. We know and maintain we will work in accordance with HUD rules and regulations where annual recertification processes are concerned. The department manager will review the certification pipeline weekly to ensure compliance and follow up with the housing specialist to ensure compliance and meeting set weekly and monthly goals and metrics.
Assistance Listing Number, Federal Agency, and Program Name Housing Vouchers Cluster 14.871 and 14.879 Federal Award Identification Number and Year Not applicable Pass through Entity Not applicable Finding Type Material weakness and material noncompliance with laws and regulations Repeat Finding No Criteria Under 24 CFR 5.230, 5.609, 982.201, 982.515, 982.516, and 982.516, the Commission must: a. As a condition of admission or continued occupancy, require the tenant and other family members to provide necessary information, documentation, and releases for the PHA to verify income eligibility. b. For both family income examinations and reexaminations, obtain and document in the family file third party verification of (1) reported family annual income; (2) the value of assets; (3) expenses related to deductions from annual income; and (4) other factors that affect the determination of adjusted income or income based rent. c. Determine income eligibility and calculate the tenant?s rent payment using the documentation from third party verification. d. Select tenants from the HCVP waiting list (see special tests and provisions HCVP waiting list). e. Reexamine family income and composition at least once every 12 months and adjust the tenant rent and housing assistance payment as necessary using the documentation from third party verification. Condition Participant files selected for testing did not include complete information to support participant eligibility. Questioned Costs $7,965 Identification of How Questioned Costs Were Computed Questioned costs were computed on the individuals below by identifying overpayments of subsidy charged compared to the appropriate amount. Context A total of 40 tenant files were tested, and the results are as follows: A total of 12 participant files were delinquent recertifications due to management delays and completed after the recertification date. Cause and Effect The Commission did not have the proper controls in place to ensure tenant recertifications are completely timely. Due to the lack of adequate controls, questioned costs for overpayment of subsidy were identified above and the housing assistance payments could be incorrect for tenants. Recommendation The Commission should establish procedures to ensure participant recertification are documented and completed timely. Views of Responsible Officials and Planned Corrective Actions Staff will be retrained on the compliance requirements under the standards of the HCV Program through the oversight of the rental assistance department manager and continued occupancy supervisor. The department manager and supervisor will continue to utilize all Yardi monitoring reports to ensure the Department is operating in accordance with industry standards. Reporting will be done and monitored monthly to meet set goals. We know and maintain we will work in accordance with HUD rules and regulations where annual recertification processes are concerned. The department manager will review the certification pipeline weekly to ensure compliance and follow up with the housing specialist to ensure compliance and meeting set weekly and monthly goals and metrics.
Assistance Listing Number, Federal Agency, and Program Name Housing Vouchers Cluster 14.871 and 14.879 Federal Award Identification Number and Year Not applicable Pass through Entity Not applicable Finding Type Material weakness Repeat Finding No Criteria Under 24 CFR 982.158(d), 982.404, and 982.405(b) the Commission must: a. Inspect the unit leased to a family at least annually to determine if the unit meets Housing Quality Standards (HQS) and the PHA must conduct quality control reinspections. The PHA must prepare a unit inspection report. b. For units under HAP Contract that fail to meet HQS, the PHA must require the owner to correct any life threatening HQS deficiencies within 24 hours after the inspections and all other HQS deficiencies within 30 calendar days or within a specified PHA approved extension. If the owner does not correct the cited HQS deficiencies within the specified correction period, the PHA must stop (abate) HAPs beginning no later than the first of the month following the specified correction period or must terminate the HAP Contract. The owner is not responsible for a breach of HQS as a result of the family?s failure to pay for utilities for which the family is responsible under the lease or for tenant damage. For family caused defects, if the family does not correct the cited HQS deficiencies within the specified correction period, the PHA must take prompt and vigorous action to enforce the family obligations. Condition Inspections selected for testing did not include complete information to support completed inspections and enforcement of repairs. Questioned Costs Not applicable Identification of How Questioned Costs Were Computed Not applicable Context A total of 25 inspections were tested, and the results are as follows: Of the files tested, support that three inspections occurred were not provided. For an additional two inspections, additional support was not provided to complete testing of the enforcement of HQS deficiencies. Cause and Effect The Commission did not have the proper controls in place to ensure inspections are occurring timely. Due to the lack of adequate controls, the support for the inspections and corrections or repairs needed was not maintained. Housing assistance payments could be made to owners whose units do not meet the HQS standards. Recommendation The Commission should establish procedures to ensure inspections are performed annually and the corrections are corrected timely. Views of Responsible Officials and Planned Corrective Actions The landlord liaison will review the third party scheduled inspection report and reconcile it with the Yardi inspection report weekly to promptly ensure inspection completeness. Yardi reports will be reviewed and monitored by the department manager/supervisor to ensure we are operating in accordance with industry standards. The Yardi reports will also be utilized in working with our inspections contractor for accuracy and reliability with annual reporting to ensure all inspections are conducted in the regulatory timeframes whether initials, biannual, or quality control inspections to ensure housing stock is HQS compliant.
Assistance Listing Number, Federal Agency, and Program Name Housing Vouchers Cluster 14.871 and 14.879 Federal Award Identification Number and Year Not applicable Pass through Entity Not applicable Finding Type Material weakness and material noncompliance with laws and regulations Repeat Finding No Criteria Under 24 CFR 5.230, 5.609, 982.201, 982.515, 982.516, and 982.516, the Commission must: a. As a condition of admission or continued occupancy, require the tenant and other family members to provide necessary information, documentation, and releases for the PHA to verify income eligibility. b. For both family income examinations and reexaminations, obtain and document in the family file third party verification of (1) reported family annual income; (2) the value of assets; (3) expenses related to deductions from annual income; and (4) other factors that affect the determination of adjusted income or income based rent. c. Determine income eligibility and calculate the tenant?s rent payment using the documentation from third party verification. d. Select tenants from the HCVP waiting list (see special tests and provisions HCVP waiting list). e. Reexamine family income and composition at least once every 12 months and adjust the tenant rent and housing assistance payment as necessary using the documentation from third party verification. Condition The Commission did not complete fiscal year 2022 recertification. Questioned Costs Unknown Identification of How Questioned Costs Were Computed Not applicable Context 40 tenant files were tested, and the results are as follows: A total of 5 participant files did not include fiscal year 2022 recertifications due to delays with tenants due to the pandemic. Cause and Effect The Commission did not have the proper controls in place to ensure that the tenant recertifications are completed annually for each tenant. Due to the lack of adequate controls, recertifications were not performed and housing assistance payments could be incorrect. Recommendation The Commission should establish procedures to ensure participant recertifications are documented and completed annually. Views of Responsible Officials and Corrective Action Plan Staff will be retrained on the compliance requirements under the standards of the HCV Program through the oversight of the rental assistance department manager and continued occupancy supervisor. The department manager and supervisor will continue to utilize all Yardi monitoring reports to ensure the department is operating in accordance with industry standards. Reporting will be done and monitored monthly to meet set goals. We know and maintain we will work in accordance with HUD rules and regulations where annual recertification processes are concerned. The department manager will review the certification pipeline weekly to ensure compliance and follow up with the housing specialist to ensure compliance and meeting set weekly and monthly goals and metrics.
Assistance Listing Number, Federal Agency, and Program Name Housing Vouchers Cluster 14.871 and 14.879 Federal Award Identification Number and Year Not applicable Pass through Entity Not applicable Finding Type Material weakness and material noncompliance with laws and regulations Repeat Finding No Criteria Under 24 CFR 5.230, 5.609, 982.201, 982.515, 982.516, and 982.516, the Commission must: a. As a condition of admission or continued occupancy, require the tenant and other family members to provide necessary information, documentation, and releases for the PHA to verify income eligibility. b. For both family income examinations and reexaminations, obtain and document in the family file third party verification of (1) reported family annual income; (2) the value of assets; (3) expenses related to deductions from annual income; and (4) other factors that affect the determination of adjusted income or income based rent. c. Determine income eligibility and calculate the tenant?s rent payment using the documentation from third party verification. d. Select tenants from the HCVP waiting list (see special tests and provisions HCVP waiting list). e. Reexamine family income and composition at least once every 12 months and adjust the tenant rent and housing assistance payment as necessary using the documentation from third party verification. Condition Participant files selected for testing did not include complete information to support participant eligibility. Questioned Costs $7,965 Identification of How Questioned Costs Were Computed Questioned costs were computed on the individuals below by identifying overpayments of subsidy charged compared to the appropriate amount. Context A total of 40 tenant files were tested, and the results are as follows: A total of 12 participant files were delinquent recertifications due to management delays and completed after the recertification date. Cause and Effect The Commission did not have the proper controls in place to ensure tenant recertifications are completely timely. Due to the lack of adequate controls, questioned costs for overpayment of subsidy were identified above and the housing assistance payments could be incorrect for tenants. Recommendation The Commission should establish procedures to ensure participant recertification are documented and completed timely. Views of Responsible Officials and Planned Corrective Actions Staff will be retrained on the compliance requirements under the standards of the HCV Program through the oversight of the rental assistance department manager and continued occupancy supervisor. The department manager and supervisor will continue to utilize all Yardi monitoring reports to ensure the Department is operating in accordance with industry standards. Reporting will be done and monitored monthly to meet set goals. We know and maintain we will work in accordance with HUD rules and regulations where annual recertification processes are concerned. The department manager will review the certification pipeline weekly to ensure compliance and follow up with the housing specialist to ensure compliance and meeting set weekly and monthly goals and metrics.
Assistance Listing Number, Federal Agency, and Program Name Housing Vouchers Cluster 14.871 and 14.879 Federal Award Identification Number and Year Not applicable Pass through Entity Not applicable Finding Type Material weakness Repeat Finding No Criteria Under 24 CFR 982.158(d), 982.404, and 982.405(b) the Commission must: a. Inspect the unit leased to a family at least annually to determine if the unit meets Housing Quality Standards (HQS) and the PHA must conduct quality control reinspections. The PHA must prepare a unit inspection report. b. For units under HAP Contract that fail to meet HQS, the PHA must require the owner to correct any life threatening HQS deficiencies within 24 hours after the inspections and all other HQS deficiencies within 30 calendar days or within a specified PHA approved extension. If the owner does not correct the cited HQS deficiencies within the specified correction period, the PHA must stop (abate) HAPs beginning no later than the first of the month following the specified correction period or must terminate the HAP Contract. The owner is not responsible for a breach of HQS as a result of the family?s failure to pay for utilities for which the family is responsible under the lease or for tenant damage. For family caused defects, if the family does not correct the cited HQS deficiencies within the specified correction period, the PHA must take prompt and vigorous action to enforce the family obligations. Condition Inspections selected for testing did not include complete information to support completed inspections and enforcement of repairs. Questioned Costs Not applicable Identification of How Questioned Costs Were Computed Not applicable Context A total of 25 inspections were tested, and the results are as follows: Of the files tested, support that three inspections occurred were not provided. For an additional two inspections, additional support was not provided to complete testing of the enforcement of HQS deficiencies. Cause and Effect The Commission did not have the proper controls in place to ensure inspections are occurring timely. Due to the lack of adequate controls, the support for the inspections and corrections or repairs needed was not maintained. Housing assistance payments could be made to owners whose units do not meet the HQS standards. Recommendation The Commission should establish procedures to ensure inspections are performed annually and the corrections are corrected timely. Views of Responsible Officials and Planned Corrective Actions The landlord liaison will review the third party scheduled inspection report and reconcile it with the Yardi inspection report weekly to promptly ensure inspection completeness. Yardi reports will be reviewed and monitored by the department manager/supervisor to ensure we are operating in accordance with industry standards. The Yardi reports will also be utilized in working with our inspections contractor for accuracy and reliability with annual reporting to ensure all inspections are conducted in the regulatory timeframes whether initials, biannual, or quality control inspections to ensure housing stock is HQS compliant.
Assistance Listing Number, Federal Agency, and Program Name Housing Vouchers Cluster 14.871 and 14.879 Federal Award Identification Number and Year Not applicable Pass through Entity Not applicable Finding Type Material weakness and material noncompliance with laws and regulations Repeat Finding No Criteria Under 24 CFR 5.230, 5.609, 982.201, 982.515, 982.516, and 982.516, the Commission must: a. As a condition of admission or continued occupancy, require the tenant and other family members to provide necessary information, documentation, and releases for the PHA to verify income eligibility. b. For both family income examinations and reexaminations, obtain and document in the family file third party verification of (1) reported family annual income; (2) the value of assets; (3) expenses related to deductions from annual income; and (4) other factors that affect the determination of adjusted income or income based rent. c. Determine income eligibility and calculate the tenant?s rent payment using the documentation from third party verification. d. Select tenants from the HCVP waiting list (see special tests and provisions HCVP waiting list). e. Reexamine family income and composition at least once every 12 months and adjust the tenant rent and housing assistance payment as necessary using the documentation from third party verification. Condition The Commission did not complete fiscal year 2022 recertification. Questioned Costs Unknown Identification of How Questioned Costs Were Computed Not applicable Context 40 tenant files were tested, and the results are as follows: A total of 5 participant files did not include fiscal year 2022 recertifications due to delays with tenants due to the pandemic. Cause and Effect The Commission did not have the proper controls in place to ensure that the tenant recertifications are completed annually for each tenant. Due to the lack of adequate controls, recertifications were not performed and housing assistance payments could be incorrect. Recommendation The Commission should establish procedures to ensure participant recertifications are documented and completed annually. Views of Responsible Officials and Corrective Action Plan Staff will be retrained on the compliance requirements under the standards of the HCV Program through the oversight of the rental assistance department manager and continued occupancy supervisor. The department manager and supervisor will continue to utilize all Yardi monitoring reports to ensure the department is operating in accordance with industry standards. Reporting will be done and monitored monthly to meet set goals. We know and maintain we will work in accordance with HUD rules and regulations where annual recertification processes are concerned. The department manager will review the certification pipeline weekly to ensure compliance and follow up with the housing specialist to ensure compliance and meeting set weekly and monthly goals and metrics.
Assistance Listing Number, Federal Agency, and Program Name Housing Vouchers Cluster 14.871 and 14.879 Federal Award Identification Number and Year Not applicable Pass through Entity Not applicable Finding Type Material weakness and material noncompliance with laws and regulations Repeat Finding No Criteria Under 24 CFR 5.230, 5.609, 982.201, 982.515, 982.516, and 982.516, the Commission must: a. As a condition of admission or continued occupancy, require the tenant and other family members to provide necessary information, documentation, and releases for the PHA to verify income eligibility. b. For both family income examinations and reexaminations, obtain and document in the family file third party verification of (1) reported family annual income; (2) the value of assets; (3) expenses related to deductions from annual income; and (4) other factors that affect the determination of adjusted income or income based rent. c. Determine income eligibility and calculate the tenant?s rent payment using the documentation from third party verification. d. Select tenants from the HCVP waiting list (see special tests and provisions HCVP waiting list). e. Reexamine family income and composition at least once every 12 months and adjust the tenant rent and housing assistance payment as necessary using the documentation from third party verification. Condition Participant files selected for testing did not include complete information to support participant eligibility. Questioned Costs $7,965 Identification of How Questioned Costs Were Computed Questioned costs were computed on the individuals below by identifying overpayments of subsidy charged compared to the appropriate amount. Context A total of 40 tenant files were tested, and the results are as follows: A total of 12 participant files were delinquent recertifications due to management delays and completed after the recertification date. Cause and Effect The Commission did not have the proper controls in place to ensure tenant recertifications are completely timely. Due to the lack of adequate controls, questioned costs for overpayment of subsidy were identified above and the housing assistance payments could be incorrect for tenants. Recommendation The Commission should establish procedures to ensure participant recertification are documented and completed timely. Views of Responsible Officials and Planned Corrective Actions Staff will be retrained on the compliance requirements under the standards of the HCV Program through the oversight of the rental assistance department manager and continued occupancy supervisor. The department manager and supervisor will continue to utilize all Yardi monitoring reports to ensure the Department is operating in accordance with industry standards. Reporting will be done and monitored monthly to meet set goals. We know and maintain we will work in accordance with HUD rules and regulations where annual recertification processes are concerned. The department manager will review the certification pipeline weekly to ensure compliance and follow up with the housing specialist to ensure compliance and meeting set weekly and monthly goals and metrics.
Assistance Listing Number, Federal Agency, and Program Name Housing Vouchers Cluster 14.871 and 14.879 Federal Award Identification Number and Year Not applicable Pass through Entity Not applicable Finding Type Material weakness Repeat Finding No Criteria Under 24 CFR 982.158(d), 982.404, and 982.405(b) the Commission must: a. Inspect the unit leased to a family at least annually to determine if the unit meets Housing Quality Standards (HQS) and the PHA must conduct quality control reinspections. The PHA must prepare a unit inspection report. b. For units under HAP Contract that fail to meet HQS, the PHA must require the owner to correct any life threatening HQS deficiencies within 24 hours after the inspections and all other HQS deficiencies within 30 calendar days or within a specified PHA approved extension. If the owner does not correct the cited HQS deficiencies within the specified correction period, the PHA must stop (abate) HAPs beginning no later than the first of the month following the specified correction period or must terminate the HAP Contract. The owner is not responsible for a breach of HQS as a result of the family?s failure to pay for utilities for which the family is responsible under the lease or for tenant damage. For family caused defects, if the family does not correct the cited HQS deficiencies within the specified correction period, the PHA must take prompt and vigorous action to enforce the family obligations. Condition Inspections selected for testing did not include complete information to support completed inspections and enforcement of repairs. Questioned Costs Not applicable Identification of How Questioned Costs Were Computed Not applicable Context A total of 25 inspections were tested, and the results are as follows: Of the files tested, support that three inspections occurred were not provided. For an additional two inspections, additional support was not provided to complete testing of the enforcement of HQS deficiencies. Cause and Effect The Commission did not have the proper controls in place to ensure inspections are occurring timely. Due to the lack of adequate controls, the support for the inspections and corrections or repairs needed was not maintained. Housing assistance payments could be made to owners whose units do not meet the HQS standards. Recommendation The Commission should establish procedures to ensure inspections are performed annually and the corrections are corrected timely. Views of Responsible Officials and Planned Corrective Actions The landlord liaison will review the third party scheduled inspection report and reconcile it with the Yardi inspection report weekly to promptly ensure inspection completeness. Yardi reports will be reviewed and monitored by the department manager/supervisor to ensure we are operating in accordance with industry standards. The Yardi reports will also be utilized in working with our inspections contractor for accuracy and reliability with annual reporting to ensure all inspections are conducted in the regulatory timeframes whether initials, biannual, or quality control inspections to ensure housing stock is HQS compliant.