Finding 1076816 (2023-005)

Significant Deficiency
Requirement
B
Questioned Costs
-
Year
2023
Accepted
2024-09-30
Audit: 323134
Organization: Milton Housing Authority (MA)

AI Summary

  • Core Issue: The Authority mismanaged Family Self Sufficiency (FSS) funds, leading to potential misuse of funds.
  • Impacted Requirements: FSS funds must only be used for allowable reimbursable activities as per program guidelines.
  • Recommended Follow-Up: Review FSS program guidelines and ensure proper disbursement of funds to prevent unallowable costs.

Finding Text

Finding No. 2023-005 - Allowable Costs/Cost Principles; Significant Deficiency (#14.896 - Family Self Sufficiency Program) CONDITION: The Authority was improperly administering the Family Self Sufficiency program by failing to account for the FSS funds provided to the Authority that has been contracted to administer the program on behalf of Milton Housing Authority. Additionally, the Authority was improperly reimbursing itself with FSS funds. CRITERIA: When the Authority is awarded Family Self Sufficiency funds, these funds are only allowed to be used for reimbursable FSS activities in accordance with program guidelines. QUESTIONED COSTS: The amount of questioned costs could not be determined. CONTEXT: It was discovered that the Authority was not overseeing the FSS funds disbursed to the Brockton Housing Authority to administer the FSS program for the Authority. Additionally, .the Authority was reimbursing itself with FSS funds that is not believed to be in accordance with allowable reimbursable FSS activities. CAUSE: The overall cause was a lack of quality control in understanding the program guidelines and reimbursable activities. EFFECT: The Housing Authority could be using FSS funds for unallowable costs. RECOMMENDATION: The Housing Authority should review FSS program guidelines and reimbursable activities to ensure that it is properly disbursing FSS funds.

Categories

Allowable Costs / Cost Principles

Other Findings in this Audit

  • 500365 2023-001
    Significant Deficiency Repeat
  • 500366 2023-002
    Significant Deficiency Repeat
  • 500367 2023-003
    Significant Deficiency Repeat
  • 500368 2023-001
    Significant Deficiency Repeat
  • 500369 2023-002
    Significant Deficiency Repeat
  • 500370 2023-003
    Significant Deficiency Repeat
  • 500371 2023-004
    Significant Deficiency
  • 500372 2023-004
    Significant Deficiency
  • 500373 2023-004
    Significant Deficiency
  • 500374 2023-005
    Significant Deficiency
  • 1076807 2023-001
    Significant Deficiency Repeat
  • 1076808 2023-002
    Significant Deficiency Repeat
  • 1076809 2023-003
    Significant Deficiency Repeat
  • 1076810 2023-001
    Significant Deficiency Repeat
  • 1076811 2023-002
    Significant Deficiency Repeat
  • 1076812 2023-003
    Significant Deficiency Repeat
  • 1076813 2023-004
    Significant Deficiency
  • 1076814 2023-004
    Significant Deficiency
  • 1076815 2023-004
    Significant Deficiency

Programs in Audit

ALN Program Name Expenditures
14.871 Section 8 Housing Choice Vouchers $2.92M
14.879 Mainstream Vouchers $526,069
14.896 Family Self-Sufficiency Program $90,000