Finding 1057813 (2023-002)

-
Requirement
EN
Questioned Costs
-
Year
2023
Accepted
2024-08-19
Audit: 317405
Organization: Sharon Manor Homes INC (NC)

AI Summary

  • Core Issue: Two applicants were skipped on the waiting list without explanation, and one application lacked a date and time stamp.
  • Impacted Requirements: HUD rules require proper maintenance of applications and waiting lists to ensure correct tenant move-in order.
  • Recommended Follow-Up: Management should create procedures to maintain the waiting list accurately and document reasons for any applicant being passed over.

Finding Text

Finding Resolution Status: Resolved. Population Size: N/A. Sample Size: N/A. Noncompliance information: I tested the waiting list and found two applicants that had been passed over with no explanation as to why they were passed over. In addition, the move-in for unit 4703-2 had no date or time stamp on the original application. Condition: Two applicants had been passed over on the waiting list with no explanation and applicants with later dates on their applications were moved in. The application for one move-in was not date and time stamped and the correct move in order could not be determined. Criteria: HUD rules and regulations require that the applications and waiting list be maintained in a way so that the tenant move-in order can be determined. Effect: Applicants could be moved-in in an incorrect order and there is no way of telling if applicants that were passed over should have been moved in. Cause: Managment agent oversight. Reccomendation: The management agent should establish procedures to make sure the waiting list is being properly maintained and explanations for passing over an applicant is recorded so that a proper move-in order can be established and verified.

Categories

HUD Housing Programs Internal Control / Segregation of Duties

Other Findings in this Audit

Programs in Audit

ALN Program Name Expenditures
14.155 Mortgage Insurance for the Purchase Or Refinancing of Existing Multifamily Housing Projects $1.39M
14.195 Section 8 Housing Assistance Payments Program $212,864