Finding Text
2024 – 002
Federal Agency: U.S. Department of Housing and Urban Development
Federal Program Name: Housing Voucher Cluster
Assistance Listing Number: 14.871 / 14.879
Award Period: July 1, 2023 through June 30, 2024
Type of Finding: Significant Deficiency in Internal Control over Compliance, Other Matters
Criteria or specific requirement: The PHA must inspect the unit leased to a family at least annually to determine if the unit meets Housing Quality Standards (HQS) and the PHA must conduct quality control re-inspections. The PHA must prepare a unit inspection report (24 CFR sections 982.158(d) and
982.405(b)).
Condition: During the testing of the HCV program tenant files for the Annual HQS, we noted one instance where the HQS inspection was not done within the 24-month regulatory period.
Questioned costs: None
Context: Out of the 40 files tested, one contained an error as noted above. The samples were
statistically valid samples.
Cause: The Authority failed to provide adequate monitoring and oversight to ensure compliance with HUD rules and regulations, as well as their administrative policy.
Effect: The Authority is not in compliance with federal regulations regarding the annual HQS.
Repeat Finding: No
Recommendation: We recommend that the housing authority designate an individual to assure HQS inspections are completed timely.
Views of responsible officials: The agency feels the item in question for the inspection date is outside the scope of the audit dates which are July 1, 2023, to June 30, 2024. Additionally, when the agency discovered the error in March 2023 during a time of restructuring a very high turnover department, we took immediate action in correcting the inspection to be compliant.