Finding 1074632 (2023-003)

-
Requirement
N
Questioned Costs
-
Year
2023
Accepted
2024-09-25

AI Summary

  • Core Issue: One tenant file lacked proof of disability/handicapped status, which is required for Section 8 eligibility.
  • Impacted Requirements: Tenant files must include documentation verifying disability/handicapped status to ensure compliance with HUD regulations.
  • Recommended Follow-up: The Project manager should secure the necessary verification; if not possible, reimburse HUD for the rent subsidy related to this tenant.

Finding Text

DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT For the Hill Housing Facility - FINDING 2023-003: SECTION 8, ASSISTANCE LISTING NUMBER 14.195 Condition: One of the tenant files tested did not have evidence of verification of disability and/or handicapped status that would make the tenant eligible for the program. Criteria: Tenant files should contain documentation of disability/handicapped status. Effect: The Project received HUD subsidy that it may not be entitled to. Context: A sample of tenant files was selected for testing for evidence of verification of disability and/or handicapped status. The test found one file not in compliance. The non-compliance did not have a financial effect. The details and results of the sample are as follows: Population - 29, $ - N/A; Sample - 3, $ - N/A; Not in Compliance - 1, $ - N/A; Questioned Costs - None; Cause: The Project manager overlooked the requirement for verification of disability/handicapped status. Recommendation: The Project manager should attempt to obtain proper verification of disability/handicapped status on this tenant. If verification cannot be obtained, the Project should reimburse HUD for all rent subsidy on this tenant. Views of Responsible Officials and Planned Corrective Actions: The Project agrees with the finding. The project managers were reminded to obtain documentation to verify disability/handicapped status. Total - Department of Housing and Urban Development - Questioned Costs = None; Non-compliance code - R

Categories

HUD Housing Programs

Other Findings in this Audit

Programs in Audit

ALN Program Name Expenditures
14.181 Supportive Housing for Persons with Disabilities $15.47M
14.155 Mortgage Insurance for the Purchase Or Refinancing of Existing Multifamily Housing Projects $878,429
14.195 Project-Based Rental Assistance (pbra) $779,449