Finding 1075802 (2023-001)

Significant Deficiency
Requirement
EN
Questioned Costs
-
Year
2023
Accepted
2024-09-30
Audit: 322215
Organization: Rensselaer Housing Authority (NY)
Auditor: Rbt CPAS

AI Summary

  • Core Issue: The Authority lacks proper controls over key areas like Eligibility and Rent, risking compliance with federal requirements.
  • Impacted Requirements: Compliance with laws and regulations tied to federal funding is at risk due to inadequate internal controls.
  • Recommended Follow-Up: Implement a checklist for Housing Coordinators during recertification to ensure all compliance steps are documented and verified.

Finding Text

2023-001 – Documentation of Controls - Control U.S. Department of Housing and Urban Development 14.871 – Section 8 Housing Choice Vouchers Condition: During review of the Housing Choice Voucher tenant files, RBT noted that the Authority did not establish appropriate controls over Eligibility, Reasonable Rent, Utility Allowance, and HQS Inspections. Criteria: As a condition of receiving federal awards, the PHA agrees to comply with laws, regulations, and the provisions of grant agreements and contracts, and to also maintain internal controls to provide reasonable assurance of compliance with these requirements. Cause: The Authority did not establish controls over Eligibility, Reasonable Rent, Utility Allowance, and HQS Inspections. Effect: Potential loss of funding due to noncompliance or additional noncompliance if a control is missed. Questioned Costs: None identified. Perspective: This is a systemic issue. Repeat Finding: Not a repeat finding. Recommendation: We recommend that the Authority establish a checklist for the Housing Coordinators to use during the recertification process to ensure all compliance requirements are met. The checklist should be signed or initialed by the Housing Coordinator preparing the checklist and a reviewer and maintained in the tenant’s file. This checklist will serve as documentation that all compliance requirements were verified for the tenant. Auditee’s Response: See corrective action plan.

Categories

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

Other Findings in this Audit

  • 499360 2023-001
    Significant Deficiency
  • 499361 2023-002
    Significant Deficiency
  • 1075803 2023-002
    Significant Deficiency

Programs in Audit

ALN Program Name Expenditures
14.872 Public Housing Capital Fund $627,350
14.871 Section 8 Housing Choice Vouchers $600,452
14.850 Public Housing Operating Fund $504,349