Corrective Action Plans

Finding 1181316 (2025-003)

Material Weakness 2025

Housing Authority of the City of Lafayette

LA

HUD Housing Programs

The Housing Authority will implement procedures to strengthen inspection tracking and monitoring to ensure all required inspections and quality control re-inspections are conducted timely. Corrective actions include: • An inspection tracking system to monitor will be implemented to reflect all inspe...

The Housing Authority will implement procedures to strengthen inspection tracking and monitoring to ensure all required inspections and quality control re-inspections are conducted timely. Corrective actions include: • An inspection tracking system to monitor will be implemented to reflect all inspection due dates, including quality control inspections. • Review scheduling and completion of any outstanding quality control inspections has been implemented. • Supervisory monitoring will be conducted to review inspection compliance monthly. • Staff training will continue to reinforce inspection procedures and requirements.

View Audit 392538

Finding 1181313 (2025-002)

Material Weakness 2025

Housing Authority of the City of Lafayette

LA

HUD Housing Programs

The Housing Authority will implement procedures to enhanced file documentation to ensure tenant files comply with HUD requirements. Corrective actions include: • A periodic review of active tenant files are conducted to identify and correct any missing or incomplete documentation. • A standardized t...

The Housing Authority will implement procedures to enhanced file documentation to ensure tenant files comply with HUD requirements. Corrective actions include: • A periodic review of active tenant files are conducted to identify and correct any missing or incomplete documentation. • A standardized tenant file checklist has been implemented for all admissions, annual reexaminations, interim reexaminations, and ongoing file maintenance. • Supervisory file reviews are conducted, including quarterly quality control reviews. • Continuous Required staff training on HUD file documentation and compliance standards will be completed by all staff. • Accountability measures implemented to ensure staff compliance with file documentation requirements.

View Audit 392538

Finding 1181310 (2025-001)

Material Weakness 2025

Housing Authority of the City of Lafayette

LA

HUD Housing Programs Reporting

The Housing Authority of the City of Lafayette acknowledges the findings identified and is committed to implementing corrective actions to ensure full compliance with HUD regulations, 24 CFR requirements, and the Housing Authority’s Administrative Plan. The Authority has already begun implementing c...

The Housing Authority of the City of Lafayette acknowledges the findings identified and is committed to implementing corrective actions to ensure full compliance with HUD regulations, 24 CFR requirements, and the Housing Authority’s Administrative Plan. The Authority has already begun implementing corrective measures and will continue to strengthen internal controls, monitoring procedures, and staff accountability to prevent recurrence. The Housing Authority will initiate a comprehensive review of the Housing Choice Voucher waiting list to ensure compliance with federal regulations and the Administrative Plan. The following corrective actions will be implemented: • Waiting list updates conducted at least annually, with periodic interim updates as needed to ensure applicant records are accurate, current, and properly documented in accordance with Administrative Plan. • Applicants who fail to respond to update requests will be removed in accordance with the Administrative Plan, and all actions will be fully documented. • Written standard operating procedures are done in accordance with Administrative Plan, to ensure consistent management, updating, and documentation of the waiting list. • Supervisory quality control reviews are performed quarterly to ensure compliance according to our SEMAP. • Staff training is provided and will continue periodically to reinforce regulatory and policy requirements.

View Audit 392538

Finding 1180985 (2025-001)

Material Weakness 2025

Rayne Housing Authority

LA

Cash Management Procurement, Suspension & Debarment HUD Housing Programs

RAYNE HOUSING AUTHORITY 1011 The Boulevard Rayne, LA 70578 Phone No. (337) 334-3084 Fax No. (337) 334-0838 HOUSING AUTHORITY OF RAYNE, LOUISIANA CORRECTIVE ACTION PLAN YEAR ENDED SEPTEMBER 30, 2025 2025-001-CFP funds not timely advanced and spent-Cash Management Condition (a)-for the 2019 CFP, HUD r...

RAYNE HOUSING AUTHORITY 1011 The Boulevard Rayne, LA 70578 Phone No. (337) 334-3084 Fax No. (337) 334-0838 HOUSING AUTHORITY OF RAYNE, LOUISIANA CORRECTIVE ACTION PLAN YEAR ENDED SEPTEMBER 30, 2025 2025-001-CFP funds not timely advanced and spent-Cash Management Condition (a)-for the 2019 CFP, HUD recaptured $37,037, due to the obligation date being missed. (b)-for the 2021 CFP, $15,909 was recaptured, due to the obligation date being missed. (c)-for the 2020, 2022, and 2023 CFPs, HUD has suspended the drawdowns. (d)-for the 2024 and 2025 CFP grants, as of September 30, 2025, zero had been expended or advanced. HUD has also suspended drawdowns for these grants. Corrective Action Planned: I am Jill Rochon, Executive Director and Designated Person to answer this finding. I will follow the auditor’s advice. I have been in phone contact with HUD-New Orleans about this situation. Person Responsible for Corrective Action: Jill Rochon, Executive Director Telephone: (337) 334-3084 Housing Authority of Rayne Fax: (337) 334-0838 1011 The Boulevard Rayne, LA 70578 Anticipated Completion Date- September 30, 2026

View Audit 392516

Finding 1180826 (2025-002)

Material Weakness 2025

La Roche University

PA

Student Financial Aid HUD Housing Programs Matching / Level of Effort / Earmarking

Condition The federal aid disbursed resulted in a credit balance for one of the 25 students tested were not returned within 14 days of the date the credit balance occurred. Corrective Action Plan La Roche University concurs with the finding. The University’s procedures did not allow for timely payme...

Condition The federal aid disbursed resulted in a credit balance for one of the 25 students tested were not returned within 14 days of the date the credit balance occurred. Corrective Action Plan La Roche University concurs with the finding. The University’s procedures did not allow for timely payment of the funds to the student due to holidays that occurred. The Office of Student Accounts has implemented enhanced controls to ensure that credit balances are reviewed and issued refunds in a timely manner. Name(s) of Contact Person(s) Responsible for Corrective Action • Frank Corona, Controller • Dayna Tinkey, Director of Student Accounts Anticipated Completion Date All corrective actions were implemented as of February 12, 2026.

View Audit 392486

Finding 1180712 (2025-001)

Material Weakness 2025

Edward M. Marx Apartments, Inc.

FL

HUD Housing Programs Eligibility Reporting

Oversight Agency for Audit, Edward M. Marx Apartments, Inc., respectfully submits the following corrective action plan for the year ended June 30, 2025. Name and address of independent public accounting firm: Bellows Associates, P.A., 5401 N University Drive, Suite 201, Coral Springs, Florida 33067 ...

Oversight Agency for Audit, Edward M. Marx Apartments, Inc., respectfully submits the following corrective action plan for the year ended June 30, 2025. Name and address of independent public accounting firm: Bellows Associates, P.A., 5401 N University Drive, Suite 201, Coral Springs, Florida 33067 Audit period: July 1, 2024 through June 30, 2025 The finding from the June 30, 2025 schedule of findings and questioned costs is discussed below. The finding is numbered consistently with the number assigned in the schedule. SECTION III – FINDINGS AND QUESTIONED COSTS – MAJOR FEDERAL AWARD PROGRAMS AUDIT FINDING No. 2025-001: Section 202 Supportive Housing for the Elderly, ALN 14.157 Recommendation: Management should ensure that initial and ongoing tenant eligibility documentation is obtained timely and appropriately maintained. Action Taken: Staff training has been provided with additional HUD training inclusive of EIV reporting and tenant file maintenance and included in monthly reporting procedures. If the Oversight Agency for Audit has questions regarding this plan, please call Irene Phillips at 954-835-9200. Sincerely yours, Irene Phillips, CFO Irene Phillips CFO

View Audit 392365

Finding 1180706 (2025-001)

Material Weakness 2025

Deridder Housing Authority

LA

HUD Housing Programs Internal Control / Segregation of Duties

DERIDDER HOUSING AUTHORITY 600 Warren St. DeRidder, LA 70634 Phone No. (337) 463-7288 Fax No. (337) 463-3671 HOUSING AUTHORITY OF DERIDDER, LOUISIANA CORRECTIVE ACTION PLAN YEAR ENDED SEPTEMBER 30, 2025 Corrective Action Plan Finding: Finding 2025-001- Standard Contracts Need Additional Clauses Cond...

DERIDDER HOUSING AUTHORITY 600 Warren St. DeRidder, LA 70634 Phone No. (337) 463-7288 Fax No. (337) 463-3671 HOUSING AUTHORITY OF DERIDDER, LOUISIANA CORRECTIVE ACTION PLAN YEAR ENDED SEPTEMBER 30, 2025 Corrective Action Plan Finding: Finding 2025-001- Standard Contracts Need Additional Clauses Condition: Construction contracts should include certain clauses required by federal regulations. Corrective Action Planned: I am Hazel Lucas, Executive Director and Designated Person to answer this finding. We will comply with the auditor’s recommendation. Person responsible for corrective action: Hazel Lucas, Executive Director Telephone: (337) 463-7288 Housing Authority of the City of DeRidder, Louisiana Fax: (337) 463-3671 600 Warren St. DeRidder, LA 70634 Anticipated Completion Date: September 30, 2026

View Audit 392352

Finding 1180705 (2025-001)

Material Weakness 2025

Mercer County Housing Authority

PA

HUD Housing Programs

Finding 2025-001 U.S. Department of Housing and Urban Development Housing Voucher Cluster/Section 8 Housing Choice Voucher- ALN 14.881 Eligibility Recommendation: We recommend that the Authority follow its internal controls in place to ensure that the review of tenant rent calculations identifies an...

Finding 2025-001 U.S. Department of Housing and Urban Development Housing Voucher Cluster/Section 8 Housing Choice Voucher- ALN 14.881 Eligibility Recommendation: We recommend that the Authority follow its internal controls in place to ensure that the review of tenant rent calculations identifies any errors in the calculation based on the income and deduction support provided. Action taken: Management agrees with the findings and as noted, has taken action to address the issue. Additional steps to prevent the issue from recurring are as follows: All new move-ins will be inspected for quality control from Administrative Assistant, as well as 20 percent of all recertifications.

View Audit 392351

Finding 1179868 (2025-001)

Material Weakness 2025

County of Kent, Michigan

MI

HUD Housing Programs Special Tests & Provisions

2025-001 – Housing Quality Standards (HQS) Inspections Auditor Description of Condition and Effect: HQS inspection reports reviewed during testing did not bear evidence of independent review and approval. Because of this condition there was an increased risk that inspection reports could be incomple...

2025-001 – Housing Quality Standards (HQS) Inspections Auditor Description of Condition and Effect: HQS inspection reports reviewed during testing did not bear evidence of independent review and approval. Because of this condition there was an increased risk that inspection reports could be incomplete or contain inaccuracies. Auditor Recommendation: The County should implement a policy requiring all HQS inspection reports to have an independent review and that such review be sufficiently documented. Management Assessment. Management concurs with the audit assessment regarding this matter. It should be noted that the HCV program ended as of December 31, 2024. Planned Corrective Action. N/A Responsible Party. N/A Date of Planned Corrective Action. N/A

View Audit 392233

Finding 1179826 (2025-003)

Material Weakness 2025

Rochester Area School District

PA

Internal Control / Segregation of Duties HUD Housing Programs Equipment & Real Property Management

Recommendation: Ideally, the School District would hire the number of staff necessary to segregate all duties. However, we realize segregation of duties is not practical, if not impossible. Because of this internal control situation, the responsibility of the Business Manager is greatly increased be...

Recommendation: Ideally, the School District would hire the number of staff necessary to segregate all duties. However, we realize segregation of duties is not practical, if not impossible. Because of this internal control situation, the responsibility of the Business Manager is greatly increased because the Board must rely on the Business Manager's knowledge of the everyday operation to discover any material changes in the School District's financial position. Management's Response: The School District recognizes the limited staff in the Business Office makes segregating duties virtually impossible. The Board relies on the Business Manager to keep them updated on the financial state of the School District and, due to financial constraints, does not intend to increase staffing at this time.

View Audit 392208

Finding 1179813 (2025-001)

Material Weakness 2025

South Carolina Regional Housing Authority No. 3

SC

HUD Housing Programs Internal Control / Segregation of Duties

Finding 2025-001 - Moving to Work Tenant Files - Eligibility - Internal Control over Tenant Files Noncompliance & Significant Deficiency Moving to Work Demonstration - ALN #14.881 Corrective Action Plan: To recruit and train new employees to obtain 100% of vacant positions filled. To complete softwa...

Finding 2025-001 - Moving to Work Tenant Files - Eligibility - Internal Control over Tenant Files Noncompliance & Significant Deficiency Moving to Work Demonstration - ALN #14.881 Corrective Action Plan: To recruit and train new employees to obtain 100% of vacant positions filled. To complete software conversion, validating all data and optimizing data integration and functionality offered by the Yardi software to ensure proper quality control oversight. Additionally, staffwill implement a quality control (QC) review process that includes a 10% monthly supervisory QC review of completed re-exams. The monthly percentage of file reviews will increase if problems persist. Person Responsible: Doris Jamison (Director of Housing Management) and Trina Isaac (Senior Property Manager) Anticipated Completion Date: The software conversion is currently 99.5 percent complete and is anticipated to be 100 percent within the next six months. Currently, only two property manager positions remain open, and it is anticipated that these positions will be filled within the next three months. The quality control review process will begin in January of 2026. Anticipated completion date is June 30, 2026.

View Audit 392191

Finding 1179759 (2025-060)

Material Weakness 2025

State of Nebraska

NE

Special Tests & Provisions Eligibility HUD Housing Programs

Program: AL 17.225 – Unemployment Insurance – State – Special Tests and Provisions Corrective Action Plan: NDOL will review existing procedures for applying credits to employers. This review will include confirming that credits are applied correctly and that overpayments are properly established. In...

Program: AL 17.225 – Unemployment Insurance – State – Special Tests and Provisions Corrective Action Plan: NDOL will review existing procedures for applying credits to employers. This review will include confirming that credits are applied correctly and that overpayments are properly established. In addition, NDOL will implement enhanced staff review and oversight of employer charging activities to identify and correct errors. NDOL will work closely with its system vendor to address any system issues affecting employer charging and to ensure processes function as intended. Any gaps identified through these reviews will be addressed through procedural updates, targeted staff training, and ongoing monitoring. NDOL will continue to evaluate and refine employer charging procedures to ensure that credits and overpayments are applied accurately. Contact: Andi Bridgmon Anticipated Completion Date: 1/31/2027

View Audit 392165

Finding 1179754 (2025-056)

Material Weakness 2025

State of Nebraska

NE

Allowable Costs / Cost Principles Special Tests & Provisions HUD Housing Programs

Program: AL 93.778 – Grants to States for Medicaid – Special Tests and Provisions Corrective Action Plan: The Agency has prioritized the cases identified in the review. Additionally, the Agency is in the process of adding additional staff to reduce the caseload per investigator to ensure adequate re...

Program: AL 93.778 – Grants to States for Medicaid – Special Tests and Provisions Corrective Action Plan: The Agency has prioritized the cases identified in the review. Additionally, the Agency is in the process of adding additional staff to reduce the caseload per investigator to ensure adequate resources are available to work cases in a timelier manner. Additionally, the Agency has begun providing accounting support to the PI team to assist with reporting overpayments and collections. Contact: Anne Harvey Anticipated Completion Date: June 30, 2026

View Audit 392165

Finding 1179642 (2025-008)

Material Weakness 2025

New Rochelle Municipal Housing Authority

NY

HUD Housing Programs

Finding 2025-008: HQS Enforcement / Inspections Federal Program Finding Management acknowledges the finding and will strengthen oversight and enforcement of Housing Quality Standards (HQS) within the Housing Choice Voucher program. The Authority will discontinue the use of a contracted inspection se...

Finding 2025-008: HQS Enforcement / Inspections Federal Program Finding Management acknowledges the finding and will strengthen oversight and enforcement of Housing Quality Standards (HQS) within the Housing Choice Voucher program. The Authority will discontinue the use of a contracted inspection service for the Tenant-Based Voucher program and will transition to conducting HQS inspections in-house. This change will allow for improved oversight, scheduling, and monitoring of inspection and reinspection timelines. NRMHA will implement procedures to ensure that failed inspections are tracked and reinspections are completed within HUD’s required 30-day timeframe. In cases where deficiencies are not corrected within the required period, Housing Assistance Payments (HAP) abatements or other enforcement actions will be implemented in accordance with HUD regulations. Additionally, staff responsible for HQS inspections will receive training on HQS compliance requirements, and management will conduct periodic internal reviews of inspection files to ensure adherence to program requirements. Expected Completion Date August 31, 2026

View Audit 392052

Finding 1179641 (2025-007)

Material Weakness 2025

New Rochelle Municipal Housing Authority

NY

HUD Housing Programs

Finding 2025-007: SEMAP Board Approval Federal Program Finding Management acknowledges the finding and has implemented procedures to ensure compliance with SEMAP certification requirements. The Authority has established a compliance tracking list of required board approvals and regulatory submission...

Finding 2025-007: SEMAP Board Approval Federal Program Finding Management acknowledges the finding and has implemented procedures to ensure compliance with SEMAP certification requirements. The Authority has established a compliance tracking list of required board approvals and regulatory submissions, including the annual SEMAP certification. Under this procedure, all future SEMAP certifications will be presented to the Board of Commissioners for approval by resolution within the required 60-day timeframe following the end of the fiscal year. Management will monitor regulatory deadlines to ensure that SEMAP certifications are prepared, approved by the Board, and submitted to HUD in accordance with federal requirements. Completion Date: Implemented beginning FY 2026

View Audit 392052

Finding 1179444 (2025-008)

Material Weakness 2025

Cloquet Housing and Redevelopment Authority

MN

HUD Housing Programs Internal Control / Segregation of Duties Special Tests & Provisions

View of Responsible Official: Management agrees with the Finding. During the last fiscal year, the Executive Director consulted with other public housing agencies in the region and learned that many rely on the firm Nelrod to accurately identify and validate the supporting data used to establish uti...

View of Responsible Official: Management agrees with the Finding. During the last fiscal year, the Executive Director consulted with other public housing agencies in the region and learned that many rely on the firm Nelrod to accurately identify and validate the supporting data used to establish utility allowances. Nelrod conducts a comprehensive Utility Allowance Survey and Study, which provides the detailed analysis needed to develop a more reliable Utility Allowance Table for the applicable fiscal year. Based on this information, we have adopted a policy to contract with Nelrod to prepare the Utility Allowance Study beginning in fiscal year 2025–2026

View Audit 391864

Finding 1179443 (2025-007)

Material Weakness 2025

Cloquet Housing and Redevelopment Authority

MN

HUD Housing Programs

View of Responsible Official: Management agrees with the Finding. To support long term sustainability, administrative fees are reviewed on a biweekly basis to identify opportunities for cost reduction or absorption while the program continues to stabilize and grow. These measures are intended to ens...

View of Responsible Official: Management agrees with the Finding. To support long term sustainability, administrative fees are reviewed on a biweekly basis to identify opportunities for cost reduction or absorption while the program continues to stabilize and grow. These measures are intended to ensure that the program remains compliant, financially sound, and operationally viable on an annual basis

View Audit 391864

Finding 1179269 (2025-002)

Material Weakness 2025

Catholic Charities of the Archdiocese of St. Paul and Minneapolis

MN

Special Tests & Provisions HUD Housing Programs Significant Deficiency § 200.303

Finding 2025-002 Federal Agency Name: Department of Housing and Urban Development Assistance Listing Number: 14.267 Program Name: Continuum of Care Finding Summary: Catholic Charities’ internal controls did not operate as designed, which resulted in rent reasonableness tests not being reviewed befor...

Finding 2025-002 Federal Agency Name: Department of Housing and Urban Development Assistance Listing Number: 14.267 Program Name: Continuum of Care Finding Summary: Catholic Charities’ internal controls did not operate as designed, which resulted in rent reasonableness tests not being reviewed before the rent was paid. Corrective Action Plan: The Senior Division Director (now VP of Housing) issued the Rent Reasonableness Policy (Scattered Sites) on May 14, 2025. This policy was approved by the CEO on June 3, 2025, and was disseminated to all applicable staff via the Learning Management System (Bridge). Staff are required to read and electronically sign acknowledgement of every policy sent to them via Bridge. Managers in the Scattered Site program were trained on the policy and procedure in July 2025. To ensure compliance with this policy, the VP of Housing will audit all client files at least twice annually. The first audit is scheduled for March 11, 2026. Results of the internal audit will be shared with the Compliance Department for further assessment and action. Responsible Individuals: Kristen Brown, Vice-President of Housing Anticipated Completion Date: March 31, 2026

View Audit 391668

Finding 1179220 (2025-007)

Material Weakness 2025

Housing Authority of the City of Lexington, Nebraska

NE

Internal Control / Segregation of Duties Special Tests & Provisions Subrecipient Monitoring

Finding 2025-007: Reporting Material Weakness/Noncompliance Special Tests and Provisions Management agrees with this finding. The required owner certified annual financial report for the Section 202 Capital Advance Program was not submitted to HUD within 90 days of fiscal year end because year end f...

Finding 2025-007: Reporting Material Weakness/Noncompliance Special Tests and Provisions Management agrees with this finding. The required owner certified annual financial report for the Section 202 Capital Advance Program was not submitted to HUD within 90 days of fiscal year end because year end financial records were not completed in time. To prevent this from happening again, management will establish a simple year end reporting calendar, assign responsibility to a designated staff member to track HUD deadlines, and work more closely with the fee accountant to ensure financial information is completed earlier and ready for timely submission. These procedures will be in place for the next fiscal year end reporting cycle.

View Audit 391607

Finding 1179219 (2025-006)

Material Weakness 2025

Housing Authority of the City of Lexington, Nebraska

NE

Special Tests & Provisions HUD Housing Programs Material Weakness

Finding 2025-006: Replacement Reserves Material Weakness/Noncompliance LHA agrees with this finding. While monthly replacement reserve reconciliations were being completed and reviewed, the review focused on making sure the ending balance matched and did not include a detailed review of the activity...

Finding 2025-006: Replacement Reserves Material Weakness/Noncompliance LHA agrees with this finding. While monthly replacement reserve reconciliations were being completed and reviewed, the review focused on making sure the ending balance matched and did not include a detailed review of the activity in the account. Because of this, multiple deposits were made in some months without being noticed. One replacement reserve payment was also mistakenly deposited into another program’s replacement reserve account. Although the fee accountant properly recorded this as money due back to Eastlawn East, staff did not identify that the funds had not yet been returned as of June 30, 2025. In addition, we were unable to locate documentation showing HUD approval for a $13,329.48 replacement reserve withdrawal. We understand that HUD approval is required for all withdrawals and that documentation should be maintained. To address this issue and prevent it from happening again we are updating procedures as follows Replacement Reserves: A spreadsheet is being made for each month for each account. LHA will keep track of the date each deposit for the Eastlawn and Eastlawn East Accounts are made and verify by a second party (one that does not do the deposit) that they are being placed in the correct account. Management will perform an additional review of replacement reserve activity each month. We are working with the other program to ensure the misapplied funds are returned to Eastlawn East. We will contact HUD to determine the appropriate next steps regarding the withdrawal without approval documentation and will ensure all future approvals are properly retained.

View Audit 391607

Finding 1179061 (2025-001)

Material Weakness 2025

Suffolk Redevelopment and Housing Authority

VA

HUD Housing Programs

Corrective Action: The Housing Authority will implement a targeted Quality Control (QC) review process under the oversight of the Housing Operations Director to ensure utility allowances are calculated, documented, and applied in accordance with HUD requirements, the Authority's approved utility all...

Corrective Action: The Housing Authority will implement a targeted Quality Control (QC) review process under the oversight of the Housing Operations Director to ensure utility allowances are calculated, documented, and applied in accordance with HUD requirements, the Authority's approved utility allowance schedule, and HUD Form 52667. The QC process will ensure that the lower of the approved voucher bedroom size or the actual unit bedroom size is consistently applied. Implementation: • The Housing Operations Director will oversee selective QC reviews of key HCV transactions, including: o New admissions o Selected annual reexaminations o Selected interim reexaminations impacting rent or utility allowances o Selected Housing Assistance Payment (HAP) contracts prior to approval • Reviews will verify: o Correct bedroom size determination o Accurate utility allowance calculations o Proper system entry and supporting documentation maintained in the tenant file and HAP registry • Management will review and correct the tenant files identified in the audit sample and document revised calculations as needed. • A standardized utility allowance calculation worksheet will be required in tenant files. • Staff will receive refresher training on utility allowance calculation and documentation requirements. • Periodic internal monitoring will be conducted to ensure ongoing compliance.

View Audit 391500

Finding 1179060 (2025-001)

Material Weakness 2025

New Jersey Association on Correction and Morrow Holding Corporation

NJ

HUD Housing Programs Reporting Significant Deficiency

Finding Description: Per the VOCA contract, the grantee is required to submit quarterly fiscal and programmatic reports by the 15th calendar day of the month following the end of the quarter to the State of NJ. Testing of the compliance requirement indicated that several reports were not submitted t...

Finding Description: Per the VOCA contract, the grantee is required to submit quarterly fiscal and programmatic reports by the 15th calendar day of the month following the end of the quarter to the State of NJ. Testing of the compliance requirement indicated that several reports were not submitted timely. Corrective Action and Method of Implementation: The Organization is currently in a transition phase and plans to reorganize job duties and adjust staffing within the Finance Department to support the preparation and timely submission of quarterly fiscal and programmatic reports. These delays resulted from postponed contract approvals by the contracting entity, as well as staff turnover, which affected the timely filing of complete and accurate reports. Name of Responsible Person: Diane Hobbs, Chief Financial Officer Anticipated Completion Date: June 2026

View Audit 391493

Finding 1179035 (2025-001)

Material Weakness 2025

Affordable Residences in Chesterfield (rockwood Village Apartments)

VA

HUD Housing Programs

Controls around fishing attacks have been implemented to ensure no inappropriate withdrawls are made from the reserve accounts.

View Audit 391469

Finding 1179034 (2025-001)

Material Weakness 2025

Richmond Urban Senior Housing (monarch Woods Apartments)

VA

HUD Housing Programs

Controls around fishing attacks have been implemented to ensure no inappropriate withdrawls are made from the reserve accounts.

View Audit 391468

Finding 1177957 (2025-002)

Material Weakness 2025

Robeson County Housing Authority

NC

HUD Housing Programs

MTW Income Verification and Rent Calculation Explanation of Condition: The Authority operates under HUD-approved MTW waivers, including three-year certifications. In the finding identified, Enterprise Income Verification (EIV) was not utilized during a Year 1 MTW income calculation, resulting in und...

MTW Income Verification and Rent Calculation Explanation of Condition: The Authority operates under HUD-approved MTW waivers, including three-year certifications. In the finding identified, Enterprise Income Verification (EIV) was not utilized during a Year 1 MTW income calculation, resulting in underreported income and an incorrect rent determination that carried forward into the second year of the MTW cycle. Corrective Actions Taken and Planned: To strengthen compliance with HUD occupancy requirements and MTW oversight standards, the Authority has implemented the following corrective actions:  The Authority has developed and implemented a formal Standard Operating Procedure (SOP) for MTW Income Verification and Rent Calculations, which requires: o Mandatory EIV review in accordance with HUD’s verification hierarchy o Documentation of EIV review in each tenant file o Supervisory review and approval of all MTW rent calculations  An internal quality control and audit review process has been established to periodically review rent calculations and certifications for accuracy and compliance.  The recertification process has been restructured so that MTW and annual recertifications are conducted primarily during April and May, allowing staff to focus on accurate income verification and calculations without competing operational demands.  Occupancy staff have received refresher training on MTW requirements, EIV usage, and HUD income verification standards.  The Authority plans to utilize MTW flexibility to implement a Standard Deduction, which will reduce calculation complexity, improve consistency, and minimize the likelihood of future errors. The Authority believes these corrective actions align with HUD monitoring expectations, strengthen internal controls, and demonstrate ongoing commitment to MTW compliance.

View Audit 391377

Corrective Action Plans

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