Finding Text
Title and Assistance Listing Number of Federal Program: 14.157 Supportive Housing for the Elderly (Section 202); Type of Finding: Federal Award Finding; Finding Resolution Status: In process; Information on Universe and Population Size: 44 tenant files; Sample Size Information: 5 tenant files, Was the error discovered as a result of a sampling procedure? Yes, Sample size: 5, Dollar amount: $ 3,485; Identification of Repeat Finding and Finding Reference Number: Not a repeat finding.; Criteria: In accordance with eligibility and to determine whether total tenant rent payment were calculated in accordance with program requirements, the owner is responsible for annually reexamining incomes of households occupying assisted units and making appropriate adjustments to the tenant payment and the project rental assistance payment.; Statement of Condition: Four of the tenant files selected for review were charged with rental rates higher than the HAP contract.; Cause: Property manager error on contract rate input.; Effect or Potential Effect and Perspective: Overstatement of rent received and housing assistance for tenants.; Auditor Non-Compliance Code: R - Section 8 program administration; Questioned Costs: $9,504, If the value for account S3800-035 is "G" or "H", then this value must be greater than zero.; Reporting Views of Responsible Officials: Management and ownership agreed with the finding and has implemented a corrective action plan.; Please identify the property(s) and associated questioned costs this finding applies to: Arbor Ridge Apartments; FHA/Contract Number: 126-EE027; Context: As noted above, the issue noted was found in 4 out of 5 files.; Recommendation: Management and ownership should ensure that contract rates are properly inputted in the system by implementing a secondary review of files.; Auditor's Summary of Auditee's Comments on the Findings and Recommendations: Management and ownership agrees with the auditor.; Response Indicator: Agree; Completion Date: 9/23/2024; Response: Ownership agreed with the finding and has implemented a corrective action plan.