Finding 1073750 (2023-002)

2023-002- SPECIAL TESTS AND PROVISIONS – HQS ENFORCEMENT Other Matter/Significant Deficiency U.S. Department of Housing and Urban Development CFDA #: 14.871 – Section 8 Housing Choice Voucher Program CRITERIA The PHA must not make any housing assistance payments for a dwelling unit that fails to meet the HQS, unless the owner corrects the defect within the period specified by the PHA and the PHA verifies the correction. If a defect is life threatening, the owner must correct the defect within no more than 24 hours. For other defects, the owner must correct the defect within no more than 30 calendar days (or any PHA-approved extension). (24 CFR 982.404 (3)) CONDITION Re-inspections of units that failed HQS were not conducted timely for 2 out of 7 failed inspections selected. CAUSE Procedures were not in place to properly document the corrections of deficiencies in a timely manner and to abate the housing assistance payments when necessary. EFFECT The Authority may have paid housing assistance payments to landlords for units that failed to meet housing quality standards. QUESTIONED COSTS Estimated questioned costs are less than $25,000. CONTEXT There were 4,356 unit months leased for the Housing Choice Voucher Program. During 2023, there were a total of 65 failed inspections. Our sample was not a statistically valid sample. REPEAT FINDING Not a repeat finding. RECOMMENDATION We recommend that procedures be strengthened to ensure that documentation is maintained for all inspections and enforcements. AUDITEE’S RESPONSE AND PLANNED CORRECTIVE ACTION See Corrective Action Plan.