Corrective Action Plans

Finding 389371 (2023-003)

Significant Deficiency 2023

SC

Internal Control / Segregation of Duties HUD Housing Programs Reporting

Corrective Action Plan: The University will take immediate action to address the findings of the audit report. As part of the University’s holistic program to improve compliance and assurance, the institution has requested a position number from the State of South Carolina Human Resource office in t...

Corrective Action Plan: The University will take immediate action to address the findings of the audit report. As part of the University’s holistic program to improve compliance and assurance, the institution has requested a position number from the State of South Carolina Human Resource office in the area of internal auditing along with developing a budget line item for this operation. Moving forward, the new internal auditor position will provide needed leadership on all corrective action plans as necessary. The internal auditor will be the point of contact for all audit related matters, thus providing needed onsite management for compliance related issues for the University and its affiliated agencies. Management and implementation of current corrective plans are critical to the compliance efforts of the University: To ensure that future reporting of the CARES HEERF funding is posted timely, and in the required format, the University’s Controller, Financial Aid Director and Vice President of Finance and Administration/Chief Finance Officer (CFO) will conduct a monthly review and/or periodically check the Department of Education CARES HEERF FAQs for updates and new requirements. This monthly review process will be overseen by the Assistant Provost for Sponsored Programs, who will function as a neutral third party. In short, the University will enhance our oversight and management of the corrective action plans through the new internal audit team until this matter has been resolved. During the prior reporting periods under review, the University was in the process of submitting and seeking approval of a no-cost extension. During this same period that is under review, the University closed out the current “HEERF” grant and was awarded a “no-cost” extension from the Department of Education. In the University’s attempt to secure a “no-cost” extension from the Department of Education, the reporting schedules under review were developed but not posted to the University’s website as required. The oversight of the reporting process will be a key performance indicator for the internal audit team as we prepare for the “no-cost” extension phase of the grant. Anticipated Completion Date: June 30, 2024

View Audit 300369

Finding 389342 (2023-003)

Significant Deficiency 2023

New Castle County, Delaware

DE

HUD Housing Programs Allowable Costs / Cost Principles Subrecipient Monitoring § 200.303

SIGNIFICANT DEFICIENCY 2023-003 Section 8 Housing Choice Voucher Cluster – Assistance Listing No. 14.871 Recommendation: We recommend the County review and enhance its internal controls, policies, and procedures to ensure that the amounts included on the FDS are accurate. Explanation of disagreement...

SIGNIFICANT DEFICIENCY 2023-003 Section 8 Housing Choice Voucher Cluster – Assistance Listing No. 14.871 Recommendation: We recommend the County review and enhance its internal controls, policies, and procedures to ensure that the amounts included on the FDS are accurate. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: The department will modify its SOP to include a second reviewer before the final FDS figures are submitted. The first submission is due in August and the final submission is due in March. Name(s) of the contact person(s) responsible for corrective action: Mike Kapa Planned completion date for corrective action plan: June 30, 2024

View Audit 300342

Finding 389338 (2023-003)

Material Weakness 2023

Columbiana Metropolitan Housing Authority

OH

Questioned Costs HUD Housing Programs Eligibility

Views of responsible officials and planned corrective action: The Authority has recognized the material weakness in the Section 8 Housing Choice Vouchers and Mainstream Vouchers programs and will implement internal control procedures that will ensure compliance with federal regulations. Melissa Bead...

Views of responsible officials and planned corrective action: The Authority has recognized the material weakness in the Section 8 Housing Choice Vouchers and Mainstream Vouchers programs and will implement internal control procedures that will ensure compliance with federal regulations. Melissa Beadle, Deputy Director, will be responsible for implementing this corrective action by June 30, 2024. CMHA is aware that the HAB/MRI software does not store waitlist reports by date processed and since then, CMHA has been saving Excel files of the waitlist reports. The applicants that were selected for the audit were applicants that had preference points. All applicants with preference points were contacted at the same time to be informed that they were eligible for a voucher. The CMHA waitlists were ran by preference points and time/date of application. Once those applicants were pulled the waitlist was not saved to Excel. The preference point list was then sorted alphabetically for sign in purposes and tracking of applicant documentation. This is the list that was provided to the auditor.

View Audit 300341 Questioned Costs: $1

Finding 389337 (2023-002)

Material Weakness 2023

Columbiana Metropolitan Housing Authority

OH

Questioned Costs HUD Housing Programs Material Weakness

Views of responsible officials and planned corrective action: The Authority has recognized the material weakness in the Section 8 Housing Choice Vouchers and Mainstream Vouchers programs and will implement internal control procedures that will ensure compliance with federal regulations. Michael McDo...

Views of responsible officials and planned corrective action: The Authority has recognized the material weakness in the Section 8 Housing Choice Vouchers and Mainstream Vouchers programs and will implement internal control procedures that will ensure compliance with federal regulations. Michael McDougle, HCV Manager, will be responsible to implement this corrective action by June 30, 2024. CMHA has been working diligently over the past IO months to implement this corrective action with the current two CMHA employee inspectors that are following up on the life and safety 24 hour inspections and also the 30 day follow ups. When landlords have informed CMHA that they are unable to find contractors to complement the maintenance failed items, CMHA is making a note on the inspection forms and tenant file as landlords inform CM HA that they are in need of additional time. The inspection reports under this audit were completed by the contractor, Inspection Group and have since then been corrected. To date, all of the failed inspections have been reinspected and passed.

View Audit 300341 Questioned Costs: $1

Finding 389336 (2023-001)

Material Weakness 2023

Columbiana Metropolitan Housing Authority

OH

Questioned Costs HUD Housing Programs Material Weakness

Views of responsible officials and planned corrective action: The Authority has recognized the material weakness in the Section 8 Housing Choice Vouchers and Mainstream Voucher programs and will implement internal control procedures that will ensure compliance with federal regulations. Michael McDou...

Views of responsible officials and planned corrective action: The Authority has recognized the material weakness in the Section 8 Housing Choice Vouchers and Mainstream Voucher programs and will implement internal control procedures that will ensure compliance with federal regulations. Michael McDougle, HCV Manager, will be responsible to implement this corrective action by June 30, 2024. CMHA has been working diligently over the past IO months to correct the inspection process that was not completed by the contracted inspectors through Inspection Group. Tenants were under the impression that they were not required to have inspections if someone was sick in their household, as previously waived during the pandemic. The HCV tenants have since been informed with each month's recertification mailing that they are required under HUD regulations to have an annual inspection. CMHA has also trained and assigned two HCV staff to become inspectors and have a process in place where one employee completes the annual inspections and the other employee follows up on the reinspection as needed. If inspections are not completed by time of recertification, the HAP payment is held. To date, annual inspections have been completed by CMHA staff.

View Audit 300341 Questioned Costs: $1

Finding 389300 (2023-002)

Material Weakness 2023

Rockport Housing Authority

MA

Questioned Costs HUD Housing Programs Special Tests & Provisions

RHA started using Affordable Housing to provide Rent Reasonableness reports. In addition, once the HCV program started to be managed by NHA, they use Rent O Meter to provide Rent Reasonableness Reports and NHA staff will enter those numbers into PHA web to maintain as a part of the annual renewal pr...

RHA started using Affordable Housing to provide Rent Reasonableness reports. In addition, once the HCV program started to be managed by NHA, they use Rent O Meter to provide Rent Reasonableness Reports and NHA staff will enter those numbers into PHA web to maintain as a part of the annual renewal process or when a rent increase is requested by the landlord. In addition, a checklist was developed to make sure that all items are collected as necessary and entered into the PHA web system (housing management system).

View Audit 300304 Questioned Costs: $1

Finding 389299 (2023-001)

Material Weakness 2023

Rockport Housing Authority

MA

HUD Housing Programs Eligibility Material Weakness

The housing authority had instances of income, asset or medical miscalculation or insufficient verification and (1) instance of incorrect payment standard. Rockport Housing Authority (RHA) contracted with Newburyport Housing Authority (NHA) to manage the Section 8 program. They will be calculating i...

The housing authority had instances of income, asset or medical miscalculation or insufficient verification and (1) instance of incorrect payment standard. Rockport Housing Authority (RHA) contracted with Newburyport Housing Authority (NHA) to manage the Section 8 program. They will be calculating income, assets and/or medical expenses based on HUD regulation. NHA is staffed with an experienced Section 8 Coordinator. In addition, NHA uses Rent O Meter to provide Rent Reasonableness Reporting that will then be entered into PHA web as a method of record .

View Audit 300304

Finding 388600 (2023-001)

Significant Deficiency 2023

Housing Authority of Joliet

IL

HUD Housing Programs Eligibility Significant Deficiency

The Authority will catalog and maintain all required tenant file documents in accordance with federal requirements and the Authority’s internal policies. Michael Simelton, Executive Director, has assumed the responsibility of executing strengthened controls over tenant file documentation maintenanc...

The Authority will catalog and maintain all required tenant file documents in accordance with federal requirements and the Authority’s internal policies. Michael Simelton, Executive Director, has assumed the responsibility of executing strengthened controls over tenant file documentation maintenance as of April 30, 2024.

View Audit 300285

Finding 388587 (2023-002)

Material Weakness 2023

Chatham County Housing Authority

NC

HUD Housing Programs Special Tests & Provisions Subrecipient Monitoring

2023-002 ALN 14.871 – Section 8 Housing Choice Vouchers Program – Eligibility The Executive Director acknowledges the finding and is following the auditor's recommendation as listed in the Schedule of Findings and Responses. Person Responsible for Correction of Finding: N. Lee Staton, Executive Dire...

2023-002 ALN 14.871 – Section 8 Housing Choice Vouchers Program – Eligibility The Executive Director acknowledges the finding and is following the auditor's recommendation as listed in the Schedule of Findings and Responses. Person Responsible for Correction of Finding: N. Lee Staton, Executive Director Projected Completion Date: June 30, 2024

View Audit 300281

Finding 388566 (2023-001)

Material Weakness 2023

Berlin Housing Authority

NH

HUD Housing Programs Internal Control / Segregation of Duties § 200.514

BHA Audit Finding Response: Finding reviewed with program specialist and manager with following action plan in place to ensure key EIV reports are run on a scheduled basis and appropriate actions are taken; Policies and procedures surrounding EIV reviewed. Program specialist implemented the use of "...

BHA Audit Finding Response: Finding reviewed with program specialist and manager with following action plan in place to ensure key EIV reports are run on a scheduled basis and appropriate actions are taken; Policies and procedures surrounding EIV reviewed. Program specialist implemented the use of "tickler" reminders on outlook calendar to prompt EIV reports within 90 days for new move-ins. The manager will monitor monthly and quarterly to ensure EIV report is run for all move-ins and recertifications.

View Audit 300252

Finding 388512 (2023-003)

Significant Deficiency 2023

Dupage Housing Authority

IL

Allowable Costs / Cost Principles HUD Housing Programs Reporting

Finding 2023-003: Overpayments to Landlords (Significant Deficiency) Corrective Action Plan: DHA Management has worked with our financial institution to ensure that the positive pay function is working and duplicate payments will not be posted to Landlord accounts. Name of Responsible Person: Cheron...

Finding 2023-003: Overpayments to Landlords (Significant Deficiency) Corrective Action Plan: DHA Management has worked with our financial institution to ensure that the positive pay function is working and duplicate payments will not be posted to Landlord accounts. Name of Responsible Person: Cheron Corbett Completion Date: July 31, 2023

View Audit 300217

Finding 388511 (2023-002)

Significant Deficiency 2023

Dupage Housing Authority

IL

HUD Housing Programs Internal Control / Segregation of Duties Reporting

Finding 2023-002: Late Submission of Unaudited Data to REAC (Significant Deficiency) Corrective Action Plan: Due to the abrupt quitting of our previous Comptroller cause a delay in the submission of our unaudited financials. DHA has hired a new Comptroller and we have monthly meetings to ensure that...

Finding 2023-002: Late Submission of Unaudited Data to REAC (Significant Deficiency) Corrective Action Plan: Due to the abrupt quitting of our previous Comptroller cause a delay in the submission of our unaudited financials. DHA has hired a new Comptroller and we have monthly meetings to ensure that all accounting data is being recorded timely. This will allow us to submit timely financials to HUD. . Name of Responsible Person: Cheron Corbett, Executive Director Projected Completion Date: December 31, 2024

View Audit 300217

Finding 388425 (2023-001)

Material Weakness 2023

Christus Health

TX

Questioned Costs Internal Control / Segregation of Duties Allowable Costs / Cost Principles

Finding 2023-001 Federal Program Information Federal Agency: U.S. Department of Health and Human Services, Health Resources and Services Administration (HRSA) Assistance Listing No.: 93.498 COVID-19 Provider Relief Fund and American Rescue Plan (ARP) Rural Distribution Award Period of Performance: ...

Finding 2023-001 Federal Program Information Federal Agency: U.S. Department of Health and Human Services, Health Resources and Services Administration (HRSA) Assistance Listing No.: 93.498 COVID-19 Provider Relief Fund and American Rescue Plan (ARP) Rural Distribution Award Period of Performance: July 1, 2020 to June 30, 2023 Corrective Action Planned: Management agrees that certain expenses to the COVID department were not reviewed and approved at the order entry level in specific cases. Although evidence of review was not retained for every charge to the COVID department, we believe the appropriateness of the charge was reasonable. Additionally, based on monthly review of departmental expenses and full-time equivalent (FTE) analysis at the facility level, we believe that these expenditures are subject to the appropriate level of review to identify unexpected variances. As it relates to the COVID Activity Code, this code was created as a means to track certain COVID hours worked, but was not configured to calculate the amounts associated with those hours, resulting in the need to make reasonable estimates. Even using the base pay rate at the time the hours were incurred would not have been accurate since it would omit adjustments for shift differentials, weekend hours, and overtime. We performed internal analyses and reviewed the results of samples selected by the auditors and concluded that the risk of a material overcharge to the program was minimal. Further, we have almost $40 million of unused lost revenues after our final PRF submission for Period 5, such that any questioned costs would easily be covered by other eligible uses of PRF funds. We have reviewed our processes related to the retention of expense documentation to improve audit evidence should this program ever be awarded in future periods. Responsible party: Lee Sonne, Vice President of Finance and Controller Implementation Date: Procedures were reviewed and analysis completed along with the Period 5 portal filing in September 2023.

View Audit 300159 Questioned Costs: $1

Finding 388280 (2023-001)

Significant Deficiency 2023

City of Pomona

CA

HUD Housing Programs

The City will commence quality control re-inspections as soon as possible, either by contracting with another public housing agency, or by hiring or contracting with a part-time inspector.

View Audit 300062

Finding 388130 (2023-001)

None 2023

Loretto Apts at O'Brien Road Hdfc, Inc. (o'brien Rd SR Appts 2)

NY

HUD Housing Programs Cash Management

U.S. Department of Housing and Urban Development Loretto Apartments at O’Brien Road Housing Development Fund Company, Inc. (O’Brien Road Senior Apartments 2), HUD Project No. 014-EE287/NY06-S101-004 respectfully submits the following corrective action plan for the year ended December 31, 2023. Nam...

U.S. Department of Housing and Urban Development Loretto Apartments at O’Brien Road Housing Development Fund Company, Inc. (O’Brien Road Senior Apartments 2), HUD Project No. 014-EE287/NY06-S101-004 respectfully submits the following corrective action plan for the year ended December 31, 2023. Name and address of independent public accounting firm: Bonadio & Co., LLP 432 North Franklin Street #60 Syracuse, New York 13204 Audit period: January 1, 2023 – December 31, 2023 The findings from the 2023 schedule of findings and questioned costs are discussed below. The findings are numbered consistently with the numbers assigned in the schedule. FINDINGS – FINANCIAL STATEMENT AUDIT None FINDINGS – FEDERAL AWARD PROGRAM AUDIT Finding 2023-001: Supportive Housing for the Elderly (Section 202), Federal Assistance Listing Number 14.157 Recommendation: Our auditors recommended that we ensure residual receipts are made within 60 days of year-end in accordance with the HUD Regulatory Agreement. Action Taken: O’Brien Road Senior Apartments 2 made the required payment in August 2023. Name of Contact Person Responsible for Corrective Action: Kyle Lyskawa, CFO, (315) 424-1821. Completion Date: August 2023

View Audit 299948

Finding 388129 (2023-001)

None 2023

Taylor Brown Hdf CO (east Main Street Apartments

NY

HUD Housing Programs

U.S. Department of Housing and Urban Development Taylor Brown Housing Development Fund Company, Inc. (East Main Street Apartments), FHA Project No. 014-11145 respectfully submits the following corrective action plan for the year ended December 31, 2023. Name and address of independent public accou...

U.S. Department of Housing and Urban Development Taylor Brown Housing Development Fund Company, Inc. (East Main Street Apartments), FHA Project No. 014-11145 respectfully submits the following corrective action plan for the year ended December 31, 2023. Name and address of independent public accounting firm: Bonadio & Co., LLP 432 North Franklin Street #60 Syracuse, New York 13204 Audit period: January 1, 2023 – December 31, 2023 The findings from the 2023 schedule of findings and questioned costs are discussed below. The findings are numbered consistently with the numbers assigned in the schedule. FINDINGS – FINANCIAL STATEMENT AUDIT None FINDINGS – FEDERAL AWARD PROGRAM AUDIT Finding 2023-001: Mortgage Insurance – Rental Housing (Section 207), federal assistance listing number 14.134 Recommendation: East Main Street Apartments should ensure residual receipts are made within 60 days of year-end in accordance with the HUD Regulatory Agreement. Action Taken: East Main Street Apartments made the required payment was made after the 60-day timeline. Completion Date: March 2024 Name of Contact Person Responsible for Corrective Action: Kyle Lyskawa, CFO (315) 424-1821

View Audit 299944

Finding 388122 (2023-010)

Significant Deficiency 2023

Delaware State Housing Authority

DE

HUD Housing Programs Special Tests & Provisions Significant Deficiency

DSHA will implement controls to monitor and verify required periodic inspections are performed timely by implementing the following controls: 1. All biannual inspections will be performed by the Housing Manager and the Housing Asset Manager (supervisor). 2. Letters will be sent to residents notifyi...

DSHA will implement controls to monitor and verify required periodic inspections are performed timely by implementing the following controls: 1. All biannual inspections will be performed by the Housing Manager and the Housing Asset Manager (supervisor). 2. Letters will be sent to residents notifying them of the date of scheduled inspections. 3. A work order will be generated in the computer for all units indicating the date of the inspection and list all maintenance/housekeeping deficiencies. 4. Housing Managers will use their Outlook calendar as a means of tracking/alerting them of the due date for all future inspections. 5. All documents will be scanned into the resident file on Ap-extender. This will include a copy of the inspection letter and inspection work order. Responsible Official: Doris Hall, Director of Housing Management Completion Date: July 2023

View Audit 299937

Finding 388120 (2023-008)

Significant Deficiency 2023

Delaware State Housing Authority

DE

Questioned Costs Matching / Level of Effort / Earmarking Eligibility

DSHA will ensure accurate calculation of applicant income. This will include implementing standardized procedures for verifying income sources, documenting calculations, and reviewing income determinations for accuracy. Additional training will be available to the processing team responsible for cal...

DSHA will ensure accurate calculation of applicant income. This will include implementing standardized procedures for verifying income sources, documenting calculations, and reviewing income determinations for accuracy. Additional training will be available to the processing team responsible for calculating applicant income. This will focus on proper methods for verifying income, calculating income eligibility, and identifying common errors that may lead to overpayments. The HAF Program Manager will coordinate with the Vendor to ensure accuracy of income calculations and prevent overpayments on assistance received. This corrective plan will be implemented immediately. Responsible Official: Brian Rossello, Director of Housing Finance Completion Date: March 2024

View Audit 299937 Questioned Costs: $1

Finding 388093 (2023-001)

Significant Deficiency 2023

Elizabeth City Housing Authority

NC

Eligibility HUD Housing Programs Reporting

Corrective Action Plan For the year ended june 30,2023 Section II - Financial Statement Findings None Reported Section III - Federal Award Findings and Questioned Costs Finding 2023-001 Name of Contact Person: Sandra Perry Executive Director Corrective Action: We will implement proper internal c...

Corrective Action Plan For the year ended june 30,2023 Section II - Financial Statement Findings None Reported Section III - Federal Award Findings and Questioned Costs Finding 2023-001 Name of Contact Person: Sandra Perry Executive Director Corrective Action: We will implement proper internal control procedures for the Low Rent Public Housing eligibility requirements. Proposed Completion Date: Immediately.

View Audit 299931

Finding 387790 (2023-003)

Material Weakness 2023

Housing Authority of the City of Allentown

PA

Questioned Costs HUD Housing Programs Eligibility

Action taken in response to finding: Create a third party verification policy and procedure SOP. Name(s) of the contact person(s) responsible for corrective action: Doryan Campo Planned completion date for corrective action plan: April 2024

View Audit 299848 Questioned Costs: $1

Finding 387788 (2023-002)

Significant Deficiency 2023

Housing Authority of the City of Allentown

PA

HUD Housing Programs Significant Deficiency Internal Control / Segregation of Duties

Action taken in response to finding: Create a reasonable rent management SOP. Name(s) of the contact person(s) responsible for corrective action: Aida Núñez Planned completion date for corrective action plan: April 2024

View Audit 299848

Finding 387786 (2023-001)

Significant Deficiency 2023

Housing Authority of the City of Allentown

PA

HUD Housing Programs Reporting Significant Deficiency

Action taken in response to finding: To avoid future scheduling conflicts and delays, secure vendor several month in advance. Name(s) of the contact person(s) responsible for corrective action: Aida Núñez Planned completion date for corrective action plan: April 2024

View Audit 299848

Finding 387737 (2023-002)

Significant Deficiency 2023

Wyoming Energy Authority

WY

Internal Control / Segregation of Duties HUD Housing Programs Reporting

2023-002: Segregation of Duties (Significant Deficiency) Views of Responsible Officials and Planned Corrective Actions: Management concurs with the finding. The Authority will implement controls when feasible. In addition, the Executive Director and the Board of Directors will continue to review ...

2023-002: Segregation of Duties (Significant Deficiency) Views of Responsible Officials and Planned Corrective Actions: Management concurs with the finding. The Authority will implement controls when feasible. In addition, the Executive Director and the Board of Directors will continue to review the Accounting Manager’s monthly financials and backup documentation. Another avenue the Authority will explore is to hire an external accounting firm to review all transactions on a quarterly basis. Completion Date - June 2024 Contact Person - Jami Blosmo, Accounting Manager

View Audit 299811

Finding 387721 (2023-002)

Significant Deficiency 2023

Housing Authority of Seymour

TX

Questioned Costs Procurement, Suspension & Debarment HUD Housing Programs

Corrective Action Plan - Online Purchases. Contact Person - Executive Director. Corrective Action Planned - The PHA will ensure that supporting documentation is maintained for all online purhases. Anticipated Completion Date - Within the next fiscal year.

View Audit 299775 Questioned Costs: $1

Finding 387720 (2023-001)

Significant Deficiency 2023

Housing Authority of Seymour

TX

Questioned Costs HUD Housing Programs Significant Deficiency

Corrective Action Plan - Unauthorized ACH Payments. Contact Person - Executive Director. Corrective Action Planned - The PHA will ensure that all ACH payments are adequately documented and approved. Anticipated Completion Date - Within the next fiscal year.

View Audit 299775 Questioned Costs: $1

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