Finding Text
2022-005 – Tenant Files
U.S. Department of Housing and Urban Development
14.850 – Public and Indian Housing
E. Eligibility – Significant Deficiency and Compliance Finding
Condition: During review of the Public and Indian Housing program, RBT noted incomplete file documentation. RBT also noted the Authority was not appropriately documenting controls over Eligibility and Environmental Contaminants and Remediation.
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 does not have a central, uniform location to document the controls in place over Eligibility, Reasonable Rent, Utility Allowance, and HQS Inspections.
Effect: Potential noncompliance if a control is missed.
Questioned Costs: None identified.
Perspective: Of the 15 tenant files tested, 4 files had an incomplete form HUD-9886 and all 15 files selected for testing were missing documentation of internal controls.
Repeat Finding: Not a repeat finding.
Recommendation: We recommend that the Authority establish a checklist for the Tenant Housing Representatives to use during the recertification process to ensure all compliance requirements are met. The checklist should be signed or initialed by the representative 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.