Finding Text
Federal Agency: U.S. Department of Housing and Urban Development
Federal Program Name: Housing Voucher Cluster
Assistance Listing Number: 14.871/14.879
Federal Award Identification Number and Year: DC001VO - 2023
Award Period: October 1, 2022 – September 30, 2023
Type of Finding:
• Material Weakness in Internal Control over Compliance
• Material Noncompliance (Modified Opinion)
Criteria or Specific Requirement: The PHA must have written policies in its HCVP administrative plan for selecting applicants from the waiting list and PHA documentation must show that the PHA follows these policies when selecting applicants for admission from the waiting list. Except as provided in 24 CFR section 982.203 Special admission (non-waiting list), all families admitted to the program must be selected from the waiting list. “Selection” from the waiting list generally occurs when the PHA notifies a family whose name reaches the top of the waiting list to come in to verify eligibility for admission (24 CFR sections 5.410, 982.54(d), and 982.201 through 982.207).
Condition/Context: Exceptions noted in 14 of the 40 samples:
• For 13 of the 40 files tested, we were not provided with the voucher issuance or denial letter applicable, nor was the application signed or electronically signed.
• For 1 of the 40 files tested, we were not provided with supporting documentation.
Questioned Costs: Unable to determine.
Cause: The Authority did not sufficiently monitor controls to ensure compliance with new tenant
selection requirements.
Effect: The Authority is not in compliance with federal regulations regarding the required new tenant selection requirements.
Repeat Finding: The finding is a repeat of finding 2022-006 in the prior audit period.
Recommendation: We recommend the Authority implements controls to ensure that documentation is maintained for new tenants.
Views of Responsible Officials: There is no disagreement with the audit finding.